2012
DOI: 10.1007/s00148-012-0402-3
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Labor supply in the terminal stages of lone parents’ lives

Abstract: Based on Norwegian register data, we show that having a lone parent in the terminal stage of life affects the offspring's labor market activity. The employment propensity declines by around 0.5-1 percentage point among sons and 4 percentage points among daughters during the years prior to the parent's death, ceteris paribus. After the parent's demise, employment picks up again and earnings rise for both sons and daughters. Reliance on sickness insurance and other social security transfers increases significant… Show more

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Cited by 30 publications
(24 citation statements)
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References 34 publications
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“…Some theoretical work (Hiedemann & Stern, ; Engers & Stern, ; Byrne et al ., ; Rainer & Siedler, ) in the long‐term care literature uses game theory to model the interaction between siblings who make decisions about long‐term care for their elderly parents. If the stages of decisions are viewed as sequential, as opposed to simultaneous, these theoretical models imply that decisions to provide care are made dynamically (Fevang et al ., ; Skira, ). As discussed in Sovinsky and Stern (), there are several other scenarios where previous care status is taken into account when future care provision decisions are made.…”
Section: Empirical Model and Econometric Methodsmentioning
confidence: 97%
“…Some theoretical work (Hiedemann & Stern, ; Engers & Stern, ; Byrne et al ., ; Rainer & Siedler, ) in the long‐term care literature uses game theory to model the interaction between siblings who make decisions about long‐term care for their elderly parents. If the stages of decisions are viewed as sequential, as opposed to simultaneous, these theoretical models imply that decisions to provide care are made dynamically (Fevang et al ., ; Skira, ). As discussed in Sovinsky and Stern (), there are several other scenarios where previous care status is taken into account when future care provision decisions are made.…”
Section: Empirical Model and Econometric Methodsmentioning
confidence: 97%
“…Fevang et al. () is the only study that provides a theoretical model of caregiving and work with multiple periods. In that model, however, perfect foresight is assumed.…”
Section: Related Literaturementioning
confidence: 99%
“…As a consequence, their children tend to take out much sick leave, and other social security transfers also increase significantly during the terminal stages of their parents’ lives (Fevang et al 2012). …”
Section: Caring For Elderly Parents Might Affect Labour Market Particmentioning
confidence: 99%