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Does Family Elderly Care Reduce Female Employment? A Two-Stage Residual Inclusion Approach
Chen Lu, Fan Hongli
Population Research    2016, 40 (3): 71-81.  
Abstract721)      PDF (206KB)(1826)       Save
The family care burden for female caregivers is becoming heavier with the population aging.Using data of the 2009 China Health and Nutrition Survey,this paper identifies the influence of family care on female labor force participation rate with a two-stage residual inclusion( 2SR I) model. There is an endogeneity problem which leads to an underestimate of the influence of family care on female labor force participation rate,and the two-stage least squares and two-stage predictor substitution would overstate the negative effect on labor force participation.The 2SRI estimator is consistent and effective to solve endogeneity in nonlinear models.The family elder care significantly reduces female la- bor force participation rate by 12. 46% .In addition,the impact on labor force participation is greater among women living in rural areas,living with parents and having few siblings.
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