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Norwegian

Informal Care and Labor Supply

Link to article:

[PDF]

Authors:

Fevang, Elisabeth, Snorre Kverndokk, Knut Røed

Year:

2008

Reference:

Andre skrifter
IZA Discussion Paper No. 3717

Summary

Based on Norwegian register data we show that having a lone parent in the terminal phase of life significantly affects the offspring’s labor market activity. The employment propensity declines by around 1 percentage point among sons and 2 percentage points among daughters during the years just prior to the parent’s death, ceteris paribus. Long-term sickness absence increases sharply. The probability of being a long-term social security claimant (defined as being a claimant for at least three months during a year) rises with as much as 4 percentage points for sons and 2 percentage points for daughters. After the parent’s demise, earnings tend to rise for those still in employment while the employment propensity continues to decline. The higher rate of social security dependency persists for several years.

JEL:

J14, J22

Keywords:

Elderly care, labor supply, ageing, inheritance

Project:

Oppdragsgiver: Norges forskningsråd
Oppdragsgivers prosjektnr.:
Frisch prosjekt: 1135 - The public long term care and its effect on labour market participation for elderly workers

Contact:

knut.roed@frisch.uio.no

Financing:

Norges Forskningsråd