Abstract:  There exists marked gender difference of functional limitation incidence among Chinese elderly. Specifically，women are more likely to suffer from difficulties of activity of daily living. This paper intends to explain this puzzle from the perspective of family human capital investment with the son preference that results in gender difference of educational attainment. Cognition is critical for maintaining ac- tivity of daily living and education has a positive effect on cognition at older age. Thus，gender difference in education in early life is transmitted to gender difference of functional limitation in later life. We verify this hypothesis by using CHARLS baseline data and find that cognition，especially the crystallized intelligence part，has an important effect on the reduction of functional limitation impairment rate. With the improvement of girl's education，better health equality can be achieved among older men and women.

Keywords:  Activity of Daily Living, Gender Inequality, Cognition, Son Preference, Ageing