children. We have little evidence, however, on the financial and social mechanisms securing the supply of elder care. In recent … data on older U.S. families, I find that children rarely receive direct payment for their help. Further, inter …-vivos transfers from unmarried parents to their adult children do not favor caregivers. Given the lack of evidence of any spotmarket …

observe their children's cost of providing care, which is continuously distributed over some interval. They choose a rule … sum of parents' and children's utility. The optimal uniform public LTC insurance can fully cover the risk of dependence … but parents continue to bear the risk of having children with a high cost of providing care. A nonlinear policy …