@techreport{NBERw12358, title = "Efficiency in Family
Bargaining: Living Arrangements and Caregiving Decisions of
Adult Children and Disabled Elderly Parents", author = "Liliana
E. Pezzin and Robert A. Pollak and Barbara S. Schone",
institution = "National Bureau of Economic Research", type =
"Working Paper", series = "Working Paper Series", number =
"12358", year = "2006", month = "July", doi = {10.3386/w12358},
URL = "http://www.nber.org/papers/w12358", abstract = {In this
paper, we use a two-stage bargaining model to analyze the living
arrangement of a disabled elderly parent and the assistance
provided to the parent by her adult children. The first stage
determines the living arrangement: the parent can live in a
nursing home, live alone in the community, or live with any
child who has invited coresidence. The second stage determines
the assistance provided by each child in the family. Working by
backward induction, we first calculate the level of assistance
that each child would provide to the parent in