%0 Report
        %A Costa-Font, Joan
%A Jimenez-Martin, Sergi
%A Vilaplana-Prieto, Cristina
        %T Thinking of Incentivizing Care? The Effect of Demand Subsidies on Informal Caregiving and Intergenerational Transfers
        %D 2018
        %8 2018 Aug
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 11774
        %U https://www.iza.org/publications/dp11774
        %X We study the effect of demand-side subsidies to old age care recipients on both caregiving and intergenerational transfer decisions. We exploit two quasi-natural experiments referring to the inception of a universal and unconditional caregiving allowance in 2007 and its subsequent reduction in 2012. We find that the introduction of a caregiving allowance of a magnitude up to 530€ in 2011 increased the probability of informal caregiving by 32% and the intensity of care in 13.5 days/year. Consistently, we find that downstream (upstream) intergenerational transfers increased (decreased) in a magnitude of 29% (15%). The effects concentrate among middle and lower income households and were attenuated by the reduction of the subsidy.
        %K unconditional transfer
%K family transfers
%K exchange motivation
%K caregiving allowances
%K long-term care
%K difference-in-differences
%K intergenerational transfers
%K caregiving
%K demand-side cash subsidies