Publication:
Caring for carers? The effect of public subsidies on the well-being of unpaid carers

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Authors
Costa-Font, Joan ; D´Amico, Francesco ; Vilaplana Prieto, Cristina
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Publisher
The University of Chicago Press
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DOI
https://doi.org/10.1086/723539
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Description
© 2023 American Society of Health Economists. This manuscript version is made available under the CC-BY-NC 4.0 license http://creativecommons.org/licenses/by-nc/4.0/. This document is the Published version of a Published Work that appeared in final form in American Journal of Health Economics. To access the final edited and published work see https://doi.org/10.1086/723539
Abstract
We study the effect of long-term care subsidies and supports on the well-being of unpaid caregivers. We draw on evidence from a policy intervention, which universalized previously means-tested caregiving supports in Scotland, known as free personal care (FPC). We document causal evidence of an increase in the well-being (happiness) of unpaid carers after the introduction of FPC. Our estimates suggest economically relevant improvements in happiness (12 percentage point increase in subjective well-being) among caregivers exposed to FPC and who provide at least 35 hours of care per week. Consistently, these results are larger among women and non-actively employed caregivers (17 percentage point increase in happiness). Estimates are not driven by selection into caregiving; they are explained by income effects of FPC among caregivers.
Citation
American Journal of Health Economics, volume 9, number 4, 487-522
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