Informal Care Giving and Market Labor Supply (in Japanese)

Abstract

This paper examines how adult-children decide time spent providing nursing care to their parents and their working time in the market. Utilizing a unique survey containing information both on adult-children and their parents in Japan, we clarify whether or not adult-childrenfs supply of informal care would discourage their labor supply. We first find that the existence of inheritance that children expect to receive from their parents in the future is one of the important determinants of whether they provide nursing care to their parents. Controlled for this inheritance effect, childrenfs incentive to provide nursing care discourages their incentive to work, while childrenfs incentive to work does not affect their incentive to provide nursing care. The results imply that limiting access to market care services may decrease labor supply in Japan.Long-Term care, Informal care, Within-family time transfer, Market labor supply, Exchange Motive, Micro-data, Simultaneous-Decisions, Japan.