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Ageing and the Family in Indonesia: An Exploration of the Effect of Elderly Care-Giving on Female Labor Supply

Author

Listed:
  • Elisabetta Magnani

    () (University of New South Wales)

  • Anu Rammohan

    () (University of Western Australia)

Abstract

In developing countries, the absence of universal social safety nets frequently necessitates co-residence between older parents and adult children for the provision of elderly care. In this article we use the 2000 Indonesian Family Life Survey (IFLS 3) to distinguish between co-residence with and care-giving for the elderly and examine the impact of care-giving for elderly household members on the labor supply decisions of co-resident working-age adults. After controlling for the potential endogeneity of co-residing decisions and the selection bias arising from such endogeneity, our results suggest that care-giving reduces the margins of labor supply, both the intensive (working hours) and extensive (participation) margins. This effect is particularly strong in samples of female adults.

Suggested Citation

  • Elisabetta Magnani & Anu Rammohan, 2009. "Ageing and the Family in Indonesia: An Exploration of the Effect of Elderly Care-Giving on Female Labor Supply," Journal of Income Distribution, Journal of Income Distribution, vol. 18(3-4), pages 110-130, September.
  • Handle: RePEc:jid:journl:y:2009:v:18:i:3-4:p:110-130
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    File URL: http://jid.journals.yorku.ca/index.php/jid/article/view/23684
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    Cited by:

    1. Brück, Tilman & Esenaliev, Damir & Kroeger, Antje & Kudebayeva, Alma & Mirkasimov, Bakhrom & Steiner, Susan, 2014. "Household survey data for research on well-being and behavior in Central Asia," Journal of Comparative Economics, Elsevier, vol. 42(3), pages 819-835.
    2. Elisabetta Magnani & Garima Verma & Anu Rammohan, 2012. "Intra-household Competition for Care: The Role of Bequest-regulating Social Norms," Working Papers 201206, ARC Centre of Excellence in Population Ageing Research (CEPAR), Australian School of Business, University of New South Wales.

    More about this item

    Keywords

    elderly; care-giving; female labor;

    JEL classification:

    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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