Interdependence of formal and informal LTC provision in declining regions
This project focuses on the provision of long-term care (LTC), analysing how families, the market, and the state interact, with a particular focus on problems specific to regions with declining populations. Special attention will be devoted to how formal and informal care interact with each other and with formal health-care services to improve the general health and well-being of the elderly population.
The aim of this project is to provide empirical evidence on how different types of LTC and formal health care services interact in a joint production process. A methodological challenge in an empirical analysis of the contribution of different types of carers is that their decisions are typically interdependent. This methodological challenge will be overcome by exploiting exogenous changes in the incentives to provide care – and by combining observational and experimental methods.
The project will deliver evidence on the imbalances between different types of care that emerge when the availability of formal and informal carers changes. Special attention will be given to problems in regions where the labour force is declining, putting the availability of potential carers under strain.