In this paper, we use a 1998 reform in the federal funding of local home-based care for the elderly in Norway to examine the effects of formal care expansion on the labor supply decisions and mobility of middle-aged children. Our main finding is a consistent and significant negative impact of...

Parents make important choices for their children in many areas of life, yet the empirical literature on this topic is scarce. We study parents’ competitiveness choices for their children by combining two large-scale artefactual field experiments with high-quality longitudinal administrative...