Double Crowding-Out Effects of Means-Tested Public Provision for Long-Term Care
Publicly provided long-term care (LTC) insurance with means-tested benefits is suspected to crowd out either private saving or informal care. This contribution predicts crowding-out effects for both private saving and informal care for policy measures designed to relieve the public purse from LTC ex...
| Main Authors: | , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
MDPI AG
2015-02-01
|
| Series: | Risks |
| Subjects: | |
| Online Access: | http://www.mdpi.com/2227-9091/3/1/61 |
| _version_ | 1831684898472067072 |
|---|---|
| author | Christophe Courbage Peter Zweifel |
| author_facet | Christophe Courbage Peter Zweifel |
| author_sort | Christophe Courbage |
| collection | DOAJ |
| description | Publicly provided long-term care (LTC) insurance with means-tested benefits is suspected to crowd out either private saving or informal care. This contribution predicts crowding-out effects for both private saving and informal care for policy measures designed to relieve the public purse from LTC expenditure such as more stringent means testing and increased taxation of inheritance. These effects result from the interaction of a parent who decides on the amount of saving in retirement and a caregiver who decides on the effort devoted to informal care which lowers the probability of admission to a nursing home. Double crowding-out effects are also found to be the consequence of exogenous influences, notably a higher opportunity cost of caregiving. |
| first_indexed | 2024-12-20T08:10:08Z |
| format | Article |
| id | doaj.art-933655c20ea24043ba26146409409497 |
| institution | Directory Open Access Journal |
| issn | 2227-9091 |
| language | English |
| last_indexed | 2024-12-20T08:10:08Z |
| publishDate | 2015-02-01 |
| publisher | MDPI AG |
| record_format | Article |
| series | Risks |
| spelling | doaj.art-933655c20ea24043ba261464094094972022-12-21T19:47:18ZengMDPI AGRisks2227-90912015-02-0131617610.3390/risks3010061risks3010061Double Crowding-Out Effects of Means-Tested Public Provision for Long-Term CareChristophe Courbage0Peter Zweifel1The Geneva Association, 53 route de Malagnou, 1208 Geneva, SwitzerlandEmeritus, Department of Economics, University of Zurich, Kreuth 371, 9531 Bad Bleiberg, AustriaPublicly provided long-term care (LTC) insurance with means-tested benefits is suspected to crowd out either private saving or informal care. This contribution predicts crowding-out effects for both private saving and informal care for policy measures designed to relieve the public purse from LTC expenditure such as more stringent means testing and increased taxation of inheritance. These effects result from the interaction of a parent who decides on the amount of saving in retirement and a caregiver who decides on the effort devoted to informal care which lowers the probability of admission to a nursing home. Double crowding-out effects are also found to be the consequence of exogenous influences, notably a higher opportunity cost of caregiving.http://www.mdpi.com/2227-9091/3/1/61long-term carecrowding outinformal caresavingmeans testing |
| spellingShingle | Christophe Courbage Peter Zweifel Double Crowding-Out Effects of Means-Tested Public Provision for Long-Term Care Risks long-term care crowding out informal care saving means testing |
| title | Double Crowding-Out Effects of Means-Tested Public Provision for Long-Term Care |
| title_full | Double Crowding-Out Effects of Means-Tested Public Provision for Long-Term Care |
| title_fullStr | Double Crowding-Out Effects of Means-Tested Public Provision for Long-Term Care |
| title_full_unstemmed | Double Crowding-Out Effects of Means-Tested Public Provision for Long-Term Care |
| title_short | Double Crowding-Out Effects of Means-Tested Public Provision for Long-Term Care |
| title_sort | double crowding out effects of means tested public provision for long term care |
| topic | long-term care crowding out informal care saving means testing |
| url | http://www.mdpi.com/2227-9091/3/1/61 |
| work_keys_str_mv | AT christophecourbage doublecrowdingouteffectsofmeanstestedpublicprovisionforlongtermcare AT peterzweifel doublecrowdingouteffectsofmeanstestedpublicprovisionforlongtermcare |