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Research ArticleArticle

Bequests and Informal Long-Term Care

Evidence from HRS Exit Interviews

Max Groneck
Journal of Human Resources, March 2017, 52 (2) 531-572; DOI: https://doi.org/10.3368/jhr.52.2.1214-6839R1
Max Groneck
Max Groneck is Post-Doctoral Researcher at the Stockholm School of Economics, Department of Economics, P.O. Box 6501, SE-11383, Stockholm Sweden; .
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Abstract

Informal long-term caregiving for frail elderly individuals by their children may induce parents to compensate their children for their help. To test this hypothesis, I use the exit interview from the Health and Retirement Study (HRS). My results show that the decision to care for one’s parents has a significant positive impact on the incidence and amount of bequests received. In addition, increasing the amount of care relative to one’s siblings significantly increases the proportion of bequest within a family. Furthermore, I find that the positive nexus of caregiving and bequest requires a written will as a contract between the parent and the helping child.

  • Received December 2014.
  • Accepted December 2015.

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Journal of Human Resources: 52 (2)
Journal of Human Resources
Vol. 52, Issue 2
31 Mar 2017
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Bequests and Informal Long-Term Care
Max Groneck
Journal of Human Resources Mar 2017, 52 (2) 531-572; DOI: 10.3368/jhr.52.2.1214-6839R1

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Bequests and Informal Long-Term Care
Max Groneck
Journal of Human Resources Mar 2017, 52 (2) 531-572; DOI: 10.3368/jhr.52.2.1214-6839R1
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