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The economics of long-term care

Author

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  • Pestieau, Pierre

    (Université catholique de Louvain, LIDAM/CORE, Belgium)

Abstract

As the demand for old age long-term care (LTC) continues to grow, it becomes crucial to evaluate the roles of its traditional providers: the state, the market, and the family. Initially, this book focuses on recent research concerning the contributions of families and the marketplace. Subsequently, recognizing the diminishing involvement of families and the limited role of market solutions in addressing LTC needs, it turns its attention to a series of studies that investigate the formulation of public policies aimed at supporting elderly individuals who are without family support and lack sufficient resources. These policies are designed to leverage both market mechanisms and family resources to create a comprehensive support system for the dependent elderly. Additionally, this book explores how different countries, particularly in Europe and North America, address disability and dependence within their LTC systems, revealing a diverse range of strategies and solutions. This comparative analysis helps identify effective practices and areas needing further attention in the structuring of social insurance and support systems. Through this exploration, we aim to foster a deeper understanding of how social norms and family solidarity influence LTC provision and how these elements can be integrated into more robust public policy frameworks.

Suggested Citation

  • Pestieau, Pierre, 2026. "The economics of long-term care," LIDAM Discussion Papers CORE 2026001, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    • Handle: RePEc:cor:louvco:2026001
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    1. Nishimura, Y. & Pestieau, Pierre, 2025. "Public pensions and LTC insurance with family solidarity," LIDAM Discussion Papers CORE 2025012, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).

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    JEL classification:

    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination

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