Arbeitspapier

Caring for Carers? The Effect of Public Subsidies on the Wellbeing of Unpaid Carers

We study the effect of long-term care (LTC) subsidies and supports on the wellbeing of unpaid caregivers. We draw on evidence from a policy intervention, that 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 the happiness (12pp increase in subjective wellbeing) among caregivers exposed to FPC and that provide at least 35 hours of care per week. Consistently, these results are larger among women and non-actively employed caregivers (17pp increase in happiness). Estimates are not driven by selection into caregiving (we find similar wellbeing effects among caregivers at baseline and caregivers throughout the sample), and are driven by income effects of FPC among caregivers.

Language
Englisch

Bibliographic citation
Series: IZA Discussion Papers ; No. 15369

Classification
Wirtschaft
Health: Government Policy; Regulation; Public Health
Time Allocation and Labor Supply
Subject
caregiver's wellbeing
subjective wellbeing
long-term care subsidies
caregiving
Scotland

Event
Geistige Schöpfung
(who)
Costa-Font, Joan
D’Amico, Francesco
Vilaplana-Prieto, Cristina
Event
Veröffentlichung
(who)
Institute of Labor Economics (IZA)
(where)
Bonn
(when)
2022

Handle
Last update
10.03.2025, 11:41 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Costa-Font, Joan
  • D’Amico, Francesco
  • Vilaplana-Prieto, Cristina
  • Institute of Labor Economics (IZA)

Time of origin

  • 2022

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