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The Provision of Time to the Elderly by Their Children

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  • Axel Borsch-Supan
  • Jagadeesh Gokhale
  • Laurence J. Kotlikoff
  • John N. Morris

Abstract

This paper uses matched data on the elderly and their children to study the provision of time by children to the elderly. It develops a Tobit model as well as a structural model to analyze the determinants of this decision. The main determinants of the amount of time given to parents appear to be the parent's age, reported health, and institutionalization status, and the children's age, health, and sex. Older parents, less healthy parents, and non-institutionalized parents receive more time from their children, while younger children, healthier children, and female children provide more time. In contrast to these demographic determinants, economic variables, such as children's wage rate and income levels, appear to play a rather insignificant role in the provision of time. In addition, the evidence does not support the hypothesis that parents purchase time from their children.

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Bibliographic Info

Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 3363.

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Date of creation: May 1990
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Publication status: published as David A. Wise, editor. Topics in the Economics of Aging. Chicago: The University of Chicago Press, pp. 109-134, April 1992.
Handle: RePEc:nbr:nberwo:3363

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  1. Robert Michael & Victor Fuchs & Sharon Scott, 1980. "changes in the propensity to live alone: 1950–1976," Demography, Springer, vol. 17(1), pages 39-56, February.
  2. Frances Kobrin, 1976. "The fall in household size and the rise of the primary individual in the United States," Demography, Springer, vol. 13(1), pages 127-138, February.
  3. B. Douglas Bernheim & Andrei Shleifer & Lawrence H. Summers, 1986. "Bequests as a Means of Payment," NBER Working Papers 1303, National Bureau of Economic Research, Inc.
  4. Michael J. Boskin & Laurence J. Kotlikoff & Michael Knetter, 1985. "Changes in the Age Distribution of Income in the United States, 1968-1984," NBER Working Papers 1766, National Bureau of Economic Research, Inc.
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Cited by:
  1. Benoit Dostie & Pierre Thomas Léger, 2004. "The Living Arrangement Dynamics of Sick, Elderly Individuals," CIRANO Working Papers 2004s-03, CIRANO.
  2. Axel Borsch-Supan & Daniel L. McFadden & Reinhold Schnabel, 1996. "Living Arrangements: Health and Wealth Effects," NBER Chapters, in: Advances in the Economics of Aging, pages 193-216 National Bureau of Economic Research, Inc.
  3. Donald Cox & Beth J. Soldo, 2004. "Motivation for Money and Care that Adult Children Provide for Parents: Evidence from "Point-Blank" Survey Questions," Working Papers, Center for Retirement Research at Boston College 2004-17, Center for Retirement Research.
  4. Amihai Glazer & Vesa Kanniainen & Esko Niskanen, 2001. "Bequests, Control Rights, and Cost-Benefit Analysis," CESifo Working Paper Series 576, CESifo Group Munich.
  5. Aydogan Ulker, 2008. "Household structure and consumption insurance of the elderly," Journal of Population Economics, Springer, vol. 21(2), pages 373-394, April.

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