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Why do first-born children live together with parents?

  • Kureishi, Wataru
  • Wakabayashi, Midori

In this paper, we analyze the strategic residential location choices of multiple siblings who receive childcare assistance from their parents. Our three stage game yields a theoretical result that first-born children are more likely to live together with or close to their parents than second-born children, which is supported by our estimation results using Japanese micro-data. We also empirically show that the childcare assistance from parents is one of the determinants of the residential location choice of siblings. This paper is the first to succeed in explaining the residential location choice of siblings in Japan using economic incentives.

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Article provided by Elsevier in its journal Japan and the World Economy.

Volume (Year): 22 (2010)
Issue (Month): 3 (August)
Pages: 159-172

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Handle: RePEc:eee:japwor:v:22:y:2010:i:3:p:159-172
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/505557

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  1. Konrad, Kai A. & Künemund, Harald & Lommerud, Kjell Erik & Robledo, Julio R., 2001. "Geography of the family
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  3. Dubin, Jeffrey A & McFadden, Daniel L, 1984. "An Econometric Analysis of Residential Electric Appliance Holdings and Consumption," Econometrica, Econometric Society, vol. 52(2), pages 345-62, March.
  4. Masaru Sasaki, 2002. "The Causal Effect of Family Structure on Labor Force Participation among Japanese Married Women," Journal of Human Resources, University of Wisconsin Press, vol. 37(2), pages 429-440.
  5. Charles Yuji Horioka, 2001. "Are the Japanese Selfish, Altruistic, or Dynastic?," NBER Working Papers 8577, National Bureau of Economic Research, Inc.
  6. Shleifer, Andrei & Summers, Lawrence H. & Bernheim, B. Douglas, 1986. "The Strategic Bequest Motive," Scholarly Articles 3721794, Harvard University Department of Economics.
  7. Helmut Rainer & Thomas Siedler, 2009. "O Brother, Where Art Thou? The Effects of Having a Sibling on Geographic Mobility and Labour Market Outcomes," Economica, London School of Economics and Political Science, vol. 76(303), pages 528-556, 07.
  8. Arne Risa Hole, 2006. "Calculating Murphy-Topel variance estimates in Stata: A simplified procedure," Stata Journal, StataCorp LP, vol. 6(4), pages 521-529, December.
  9. Douglas Staiger & James H. Stock, 1997. "Instrumental Variables Regression with Weak Instruments," Econometrica, Econometric Society, vol. 65(3), pages 557-586, May.
  10. Ohtake, F., 1991. "Bequest Motives of Aged Households in Japan," ISER Discussion Paper 0249, Institute of Social and Economic Research, Osaka University.
  11. Wakabayashi, Midori & Horioka, Charles Yuji, 2009. "Is the eldest son different? The residential choice of siblings in Japan," Japan and the World Economy, Elsevier, vol. 21(4), pages 337-348, December.
  12. James W. Hardin, 2002. "The robust variance estimator for two-stage models," Stata Journal, StataCorp LP, vol. 2(3), pages 253-266, August.
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