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Number of Children and Living Arrangements of the Elderly in China

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  • Fengming Chen
  • Hiroshi Yoshida

Abstract

This study examines the effects of the number of children on the living arrangements of married and widowed individuals using data from the 2008 wave of the Chinese Longitudinal Healthy Longevity Survey. While the literature offers mixed results owing to the endogeneity bias from the number of children, we use sex dummy variables of the first and second parity as instrumental variables to correct the bias and find that the number of children has a statistically significant and positive effect on the probability of cohabitation for both subsamples. The magnitude of this effect in the widowed subsample is about 1.64 times that in the married subsample, indicating that children play a more important role in the case of widowed individuals.

Suggested Citation

  • Fengming Chen & Hiroshi Yoshida, 2016. "Number of Children and Living Arrangements of the Elderly in China," TERG Discussion Papers 352, Graduate School of Economics and Management, Tohoku University.
    • Handle: RePEc:toh:tergaa:352
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    File URL: http://hdl.handle.net/10097/64096
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    1. Axel Borsch-Supan & Vassilis Hajivassiliou & Laurence J. Kotlikoff, 1992. "Health, Children, and Elderly Living Arrangements: A Multiperiod-Multinomial Probit Model with Unobserved Heterogeneity and Autocorrelated Errors," NBER Chapters, in: Topics in the Economics of Aging, pages 79-108, National Bureau of Economic Research, Inc.
    2. Hoerger, Thomas J & Picone, Gabriel A & Sloan, Frank A, 1996. "Public Subsidies, Private Provision of Care and Living Arrangements of the Elderly," The Review of Economics and Statistics, MIT Press, vol. 78(3), pages 428-440, August.
    3. Eric V. Edmonds & Kristin Mammen & Douglas L. Miller, 2005. "Rearranging the Family?: Income Support and Elderly Living Arrangements in a Low-Income Country," Journal of Human Resources, University of Wisconsin Press, vol. 40(1).
    4. Van Houtven, Courtney Harold & Norton, Edward C., 2004. "Informal care and health care use of older adults," Journal of Health Economics, Elsevier, vol. 23(6), pages 1159-1180, November.
    5. Yin, Ting, 2010. "Parent-child co-residence and bequest motives in China," China Economic Review, Elsevier, vol. 21(4), pages 521-531, December.
    6. Angrist, Joshua D & Evans, William N, 1998. "Children and Their Parents' Labor Supply: Evidence from Exogenous Variation in Family Size," American Economic Review, American Economic Association, vol. 88(3), pages 450-477, June.
    7. Kim Korinek & Zachary Zimmer & Danan Gu, 2011. "Transitions in Marital Status and Functional Health and Patterns of Intergenerational Coresidence Among China's Elderly Population," The Journals of Gerontology: Series B, The Gerontological Society of America, vol. 66(2), pages 260-270.
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