What is the Marginal Benefit of Payment-Induced Family Care?
NBER Working Paper No. 22249
Issued in May 2016
NBER Program(s):Aging, Health Care, Health Economics, Public Economics
Research on informal and formal long-term care has centered almost solely on costs; to date, there has been very little attention paid to the benefits. This study exploits the randomization in the Cash and Counseling Demonstration and Evaluation program and instrumental variable techniques to gain causal estimates of the effect of family involvement in home-based care on health care utilization and health outcomes. We find that family involvement significantly decreases Medicaid utilization. Importantly, we find family involvement significantly lowers the likelihood of urinary tract infections, respiratory infections, and bedsores, suggesting that the lower utilization is due to better health outcomes.
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Document Object Identifier (DOI): 10.3386/w22249
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