The effect of unpaid caregiving intensity on labour force participation: results from a multinomial endogenous treatment model

Ha Trong Nguyen and Connelly, Luke Brian (2014) The effect of unpaid caregiving intensity on labour force participation: results from a multinomial endogenous treatment model. Social Science and Medicine, 100 115-122. doi:10.1016/j.socscimed.2013.10.031


Author Ha Trong Nguyen
Connelly, Luke Brian
Title The effect of unpaid caregiving intensity on labour force participation: results from a multinomial endogenous treatment model
Journal name Social Science and Medicine   Check publisher's open access policy
ISSN 0277-9536
1873-5347
Publication date 2014-01-01
Year available 2013
Sub-type Article (original research)
DOI 10.1016/j.socscimed.2013.10.031
Volume 100
Start page 115
End page 122
Total pages 35
Place of publication Kidlington, Oxford, United Kingdom
Publisher Pergamon
Language eng
Abstract It is well acknowledged that the intensity of caregiving affects labour force participation of caregivers. The literature so far has, however, not been able to control effectively for the endogeneity of caregiving intensity. This paper contributes by dealing with the endogeneity of unpaid caregiving intensity when examining its impact on the labour force participation of caregivers. We distinguish between care provided to people who cohabit with the care recipient and care provided to recipients who reside elsewhere, as well as between primary and secondary caring roles. We address the endogeneity of selection in various care intensity roles using an instrumental variables approach, using the health status of potential care recipients as instruments. Data from wave 8 of the Household Income and Labour Dynamics in Australia survey which was undertaken in 2008 are used. We focus on a sample of 7,845 working age males and females. Ruling out the endogeneity of any caregiving intensity role, we find that caregiving has a significant deterrent effect on caregivers’ employment. This deterrent effect however is concentrated among those who identify as the main caregiver and the result appears to be the same irrespective of gender. Providing care as the main caregiver reduces the probability of employment by approximately 12 percentage points for both males and females, regardless of whether or not the caregivers cohabit with the care recipients. By contrast, we find no statistically significant impact of providing care as a secondary caregiver on the employment probabilities of either males or females. These results are germane to the development of policies that may affect informal caregiving and, thereby, the labour force decisions of carers.
Keyword Australia
Informal Care
Labour force participation
Instrumental variables
Multinomial endogenous treatment
Q-Index Code C1
Q-Index Status Confirmed Code
Institutional Status UQ

 
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Created: Mon, 18 Nov 2013, 22:26:25 EST by Ha Nguyen on behalf of Medicine - Royal Brisbane and Women's Hospital