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Time? Money? Both? The Allocation of Resources to Older Parents

Kenneth A. Couch, Mary C. Daly and Douglas A. Wolf
Demography
Vol. 36, No. 2 (May, 1999), pp. 219-232
Published by: Springer on behalf of the Population Association of America
Stable URL: http://www.jstor.org/stable/2648110
Page Count: 14
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Time? Money? Both? The Allocation of Resources to Older Parents
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Abstract

We provide estimates of a reduced-form model of the allocation of household time and money resources. We consider four demands for these resources: time spent working, time spent providing care for noncoresident elderly parents, time spent performing house-work, and monetary transfers to noncoresident elderly parents. We focus on the effects of wage rates and parental characteristics on the allocation decisions of adult children and their households concerning these four demands. We find that households with individuals earning high wages rely relatively more on cash transfers and relatively less on time transfers than do lower-wage households. We also find evidence consistent with an unmeasured tendency of some families to provide multiple sources of support.

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