Inter Vivos Health Transfers: Final Days of Japanese Elderly Parents
The empirical evidence of the effect of intergenerational coresidence by elderly parents and their adult children on parental health remains fairly inconclusive. The aim of this paper is twofold: (1) to estimate a reliable coresidence effect and (2) to investigate why the coresidence effect can be negative. I argue that coresidence may worsen parental health, with coresidence burdens on children creating disincentives for parents to invest in their health. Studying Japanese data reveals: (i) an insignificant, negative average treatment effect of coresidence; (ii) a significant, negative treatment effect on the treated; and (iii) that parents with high care needs and limited resources, typically widowed mothers, are in coresidence experiencing the largest negative impact. Results are consistent with the theory predictions. In particular, what leads to the negative coresidence effect is not the base period health status but coresidence burdens, such as disability and dementia.
|Date of creation:||Mar 2012|
|Date of revision:|
|Contact details of provider:|| Postal: |
Fax: +61)-2- 9313- 6337
Web page: http://www.economics.unsw.edu.au/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Lund, Rikke & Due, Pernille & Modvig, Jens & Holstein, Bjørn Evald & Damsgaard, Mogens Trab & Andersen, Per Kragh, 2002. "Cohabitation and marital status as predictors of mortality--an eight year follow-up study," Social Science & Medicine, Elsevier, vol. 55(4), pages 673-679, August.
- Aakvik, Arild & Heckman, James J. & Vytlacil, Edward J., 2005. "Estimating treatment effects for discrete outcomes when responses to treatment vary: an application to Norwegian vocational rehabilitation programs," Journal of Econometrics, Elsevier, vol. 125(1-2), pages 15-51.
- James Heckman, 1997. "Instrumental Variables: A Study of Implicit Behavioral Assumptions Used in Making Program Evaluations," Journal of Human Resources, University of Wisconsin Press, vol. 32(3), pages 441-462.
- Bernheim, B Douglas & Shleifer, Andrei & Summers, Lawrence H, 1985.
"The Strategic Bequest Motive,"
Journal of Political Economy,
University of Chicago Press, vol. 93(6), pages 1045-76, December.
- Meliyanni Johar & Shiko Maruyama & Sayaka Nakamura, 2010. "Transition to Parent-Child Coresidence: Parental Needs and the Strategic Bequest Motive," Discussion Papers 2010-05, School of Economics, The University of New South Wales.
- Edward C. Norton & Courtney Harold Van Houtven, 2006. "Inter-vivos Transfers and Exchange," Southern Economic Journal, Southern Economic Association, vol. 73(1), pages 157–172, July.
- Becker, Gary S, 1974.
"A Theory of Social Interactions,"
Journal of Political Economy,
University of Chicago Press, vol. 82(6), pages 1063-93, Nov.-Dec..
- Grossman, Michael, 1972. "On the Concept of Health Capital and the Demand for Health," Journal of Political Economy, University of Chicago Press, vol. 80(2), pages 223-55, March-Apr.
- Cox, Donald, 1987. "Motives for Private Income Transfers," Journal of Political Economy, University of Chicago Press, vol. 95(3), pages 508-46, June.
- Li, Lydia W. & Zhang, Jiaan & Liang, Jersey, 2009. "Health among the oldest-old in China: Which living arrangements make a difference?," Social Science & Medicine, Elsevier, vol. 68(2), pages 220-227, January.
- A. Walter-Ginzburg & T. Blumstein & A. Chetrit & B. Modan, 2002. "Social Factors and Mortality in the Old-Old in Israel," Journals of Gerontology: Series B, Gerontological Society of America, vol. 57(5), pages S308-S318.
When requesting a correction, please mention this item's handle: RePEc:swe:wpaper:2012-20. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gabriele Gratton)
If references are entirely missing, you can add them using this form.