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Conflict and Cooperation within the Family, and between the State and the Family, in the Provision of Old-Age Security

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  • Alessandro Cigno

Abstract

The early contributions to the economic literature on this sub- ject assume that only market goods yield utility, and that the only way adults can secure the consumption of these goods in old age is by saving. More recent contributions recognize that the elderly derive utility also from the care and attention they may receive from their relatives, and that they may eventually become too old or inÂ…rm to keep control over their own money. According to a branch of the literature, parents negotiate the provision of per- sonal services directly with their children. According to another, such negotiations are made unnecessary by self-enforcing fam- ily rules. The present paper reviews the existing literature and addresses the question whether public provision of pensions and other facilities for the elderly raises welfare even when it crowds out family-level arrangements.

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  • Alessandro Cigno, 2014. "Conflict and Cooperation within the Family, and between the State and the Family, in the Provision of Old-Age Security," CHILD Working Papers Series 22, Centre for Household, Income, Labour and Demographic Economics (CHILD) - CCA.
  • Handle: RePEc:cca:wchild:22
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    1. Helmuth Cremer & Kerstin Roeder, 2017. "Rotten spouses, family transfers, and public goods," Journal of Population Economics, Springer;European Society for Population Economics, vol. 30(1), pages 141-161, January.

    More about this item

    Keywords

    Private savings; public pensions; inter-vivos trans- fers; bequests; care of the elderly; family rules; fertility; longevity; informational asymmetries.;

    JEL classification:

    • D7 - Microeconomics - - Analysis of Collective Decision-Making
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • H2 - Public Economics - - Taxation, Subsidies, and Revenue
    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
    • H5 - Public Economics - - National Government Expenditures and Related Policies
    • I2 - Health, Education, and Welfare - - Education
    • J1 - Labor and Demographic Economics - - Demographic Economics

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