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Bridging the gap: socioeconomic inequalities in the use of formal and informal home care

Author

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  • Maja Matanic Vautmans

    (University of Rijeka, Faculty of Economics and Business, Rijeka, Croatia)

Abstract

This paper examines socioeconomic inequalities in formal and informal home care among Europeans aged 65+, using SHARE data from 27 countries. Results show that health needs - especially age and functional limitations - are the main drivers of care use. However, informal care is more common among lower-income groups, while formal care is concentrated among wealthier and better-educated individuals. Most disparities are explained by horizontal inequities linked to income, education, and marital status, rather than differences in actual care needs. Even after adjusting for health conditions, poorer populations rely more on informal care, indicating unequal access to formal services. The findings underline the need for policies that improve access to formal care, support informal caregivers, and reduce socioeconomic barriers.

Suggested Citation

  • Maja Matanic Vautmans, 2026. "Bridging the gap: socioeconomic inequalities in the use of formal and informal home care," Public Sector Economics, Institute of Public Finance, vol. 50(2), pages 241-257.
    • Handle: RePEc:ipf:psejou:v:50:y:2026:i:2:p:241-257
    DOI: 10.3326/pse.50.2.3
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    Keywords

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    JEL classification:

    • I0 - Health, Education, and Welfare - - General
    • H4 - Public Economics - - Publicly Provided Goods
    • R2 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis

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