Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/225030
Authors: 
Frimmel, Wolfgang
Halla, Martin
Paetzold, Jörg
Schmieder, Julia
Year of Publication: 
2020
Series/Report no.: 
DIW Discussion Papers No. 1902
Abstract: 
We estimate the impact of parental health on adult children's labor market out- comes. We focus on health shocks which increase care dependency abruptly. Our estimation strategy exploits the variation in the timing of shocks across treated families. Empirical results based on Austrian administrative data show a significant negative impact on labor market activities of children. This effect is more pronounced for daughters and for children who live close to their parents. Further analyses suggest informal caregiving as the most likely mechanism. The effect is muted after a liberalization of the formal care market, which sharply increased the supply of foreign care workers.
Subjects: 
informal care
formal care
aging
health
labor supply
labor migration
JEL: 
J14
J22
I11
I18
R23
Document Type: 
Working Paper

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