IDEAS home Printed from https://ideas.repec.org/a/eee/joecag/v5y2015icp63-68.html
   My bibliography  Save this article

Who supports the elderly? The changing economic lifecycle reallocation in Taiwan, 1985 and 2005

Author

Listed:
  • Lai, Nicole Mun Sim
  • Tung, An-Chi

Abstract

Ensuring the economic security of the elderly population in Taiwan has become a pressing policy concern because of rapid population aging and other large-scale socio-economic changes. It is therefore necessary to understand how the elderly have financed their later years. To study how old-age financing has evolved in Taiwan, we have adopted the National Transfer Accounts approach in order to estimate four major financing channels in 1985 and 2005. Our results show that public transfers and asset-based reallocations have gradually replaced family support and labor income. This suggests the need for individuals to save before retirement, and for the state to take a larger role in the caring for elderly in the future.

Suggested Citation

  • Lai, Nicole Mun Sim & Tung, An-Chi, 2015. "Who supports the elderly? The changing economic lifecycle reallocation in Taiwan, 1985 and 2005," The Journal of the Economics of Ageing, Elsevier, vol. 5(C), pages 63-68.
    • Handle: RePEc:eee:joecag:v:5:y:2015:i:c:p:63-68
    DOI: 10.1016/j.jeoa.2014.10.012
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S2212828X14000486
    Download Restriction: no
    File URL: https://libkey.io/10.1016/j.jeoa.2014.10.012?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Andrew Mason & Naohiro Ogawa & Amontheo Chawla & Rikiya Matsukura, 2011. "Asset-based flows from a generational perspective," Chapters, in: Ronald Lee & Andrew Mason (ed.), Population Aging and the Generational Economy, chapter 9, Edward Elgar Publishing.
    2. Barro, Robert J, 1974. "Are Government Bonds Net Wealth?," Journal of Political Economy, University of Chicago Press, vol. 82(6), pages 1095-1117, Nov.-Dec..
    3. Naohiro Ogawa & Sang-Hyop Lee & Rikiya Matsukura & An-Chi Tung & Mun Sim Lai, 2012. "Population aging, economic growth, and intergenerational transfers in Japan: how dire are the prospects?," Chapters, in: Donghyun Park & Sang-Hyop Lee & Andrew Mason (ed.), Aging, Economic Growth, and Old-Age Security in Asia, chapter 8, pages 231-276, Edward Elgar Publishing.
    4. Cox, Donald & Jakubson, George, 1995. "The connection between public transfers and private interfamily transfers," Journal of Public Economics, Elsevier, vol. 57(1), pages 129-167, May.
    5. Donghyun Park & Sang-Hyop Lee & Andrew Mason (ed.), 2012. "Aging, Economic Growth, and Old-Age Security in Asia," Books, Edward Elgar Publishing, number 15088.
    6. An-Chi Tung, 2011. "Consumption over the lifecycle: an international comparison," Chapters, in: Ronald Lee & Andrew Mason (ed.), Population Aging and the Generational Economy, chapter 6, Edward Elgar Publishing.
    7. Bernard Casey & Atsuhiro Yamada, 2002. "Getting Older, Getting Poorer? A Study of the Earnings, Pensions, Assets and Living Arrangements of Older People in Nine Countries," LIS Working papers 314, LIS Cross-National Data Center in Luxembourg.
    8. Gary S. Becker, 1960. "An Economic Analysis of Fertility," NBER Chapters, in: Demographic and Economic Change in Developed Countries, pages 209-240, National Bureau of Economic Research, Inc.
    9. Lai, Mun Sim & Orsuwan, Meechai, 2009. "Examining the Impact of Taiwan's Cash Allowance Program on Private Households," World Development, Elsevier, vol. 37(7), pages 1250-1260, July.
    10. Ronald Lee & Andrew Mason (ed.), 2011. "Population Aging and the Generational Economy," Books, Edward Elgar Publishing, number 13816.
    11. Chou, Shin-Yi & Liu, Jin-Tan & Hammitt, James K., 2003. "National Health Insurance and precautionary saving: evidence from Taiwan," Journal of Public Economics, Elsevier, vol. 87(9-10), pages 1873-1894, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. d'Albis, Hippolyte & Badji, Ikpidi & El Mekkaoui, Najat & Navaux, Julien, 2020. "Private asset income in France: Is there a breakdown of intergenerational equity between 1979 and 2011?," The Journal of the Economics of Ageing, Elsevier, vol. 17(C).
    2. d’Albis, Hippolyte & Bonnet, Carole & Navaux, Julien & Pelletan, Jacques & Wolff, François-Charles, 2015. "Le déficit de cycle de vie en France: une évaluation pour la période 1979-2011," CEPREMAP Working Papers (Docweb) 1513, CEPREMAP.
    3. Hippolyte d’Albis & Carole Bonnet & Julien Navaux & Jacques Pelletan & François-Charles Wolff, 2017. "Lifecycle deficit in France: an assessment for the period 1979-2011," Economie et Statistique / Economics and Statistics, Institut National de la Statistique et des Etudes Economiques (INSEE), issue 491-492, pages 47-70.
    4. Hippolyte d'Albis & Carole Bonnet & Xavier Chojnicki & Najat El Mekkaoui & Angela Greulich & Jérôme Hubert & Julien Navaux, 2019. "Financing the Consumption of the Young and Old in France," Population and Development Review, The Population Council, Inc., vol. 45(1), pages 103-132, March.
    5. Hippolyte d'Albis & Carole Bonnet & Xavier Chojnicki & Najat El Mekkaouide Freitas & Angela Greulich & Jérôme Hubert & Julien Navaux, 2018. "Who pays for the consumption of young and old?," Working Papers halshs-01799724, HAL.
    6. Soheila Shamsikhani & Fazlollah Ahmadi & Anoshirvan Kazemnejad & Mojtaba Vaismoradi, 2021. "Typology of Family Support in Home Care for Iranian Older People: A Qualitative Study," IJERPH, MDPI, vol. 18(12), pages 1-14, June.
    7. Hsieh, Kevin Yu-Ching & Tung, An-Chi, 2016. "Taiwan’s National Pension Program: A remedy for rapid population aging?," The Journal of the Economics of Ageing, Elsevier, vol. 8(C), pages 52-66.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sang-Hyop Lee & Andrew Mason, 2012. "The economic lifecycle and support systems in Asia," Chapters, in: Donghyun Park & Sang-Hyop Lee & Andrew Mason (ed.), Aging, Economic Growth, and Old-Age Security in Asia, chapter 5, pages 130-160, Edward Elgar Publishing.
    2. Mejía-Guevara, Iván, 2015. "Economic inequality and intergenerational transfers: Evidence from Mexico," The Journal of the Economics of Ageing, Elsevier, vol. 5(C), pages 23-32.
    3. Nikolov, Plamen & Bonci, Matthew, 2020. "Do public program benefits crowd out private transfers in developing countries? A critical review of recent evidence," World Development, Elsevier, vol. 134(C).
    4. Kristopher Gerardi & Yuping Tsai, 2014. "The Effect of Social Entitlement Programmes on Private Transfers: New Evidence of Crowding Out," Economica, London School of Economics and Political Science, vol. 81(324), pages 721-746, October.
    5. Hsin-Ling Hsieh & Shin-Yi Chou & Echu Liu & Hsien-Ming Lien, 2015. "Strengthening or Weakening? The Impact of Universal Health Insurance on Intergenerational Coresidence in Taiwan," Demography, Springer;Population Association of America (PAA), vol. 52(3), pages 883-904, June.
    6. Elliott Fan, 2010. "Who Benefits from Public Old Age Pensions? Evidence from a Targeted Program," Economic Development and Cultural Change, University of Chicago Press, vol. 58(2), pages 297-322, January.
    7. Sandra García & Jorge Cuartas, 2017. "With a Little Help from my Friends: the Multiplier Effect of Public Subsidies through Private Support," Documentos de trabajo 17647, Escuela de Gobierno - Universidad de los Andes.
    8. Gemma Estrada & James Angresano & Jo Thori Lind & Niku Määttänen & William McBride & Donghyun Park & Motohiro Sato & Karin Svanborg-Sjövall, 2014. "Fiscal Policy and Equity in Advanced Economies: Lessons for Asia," Economic Growth Centre Working Paper Series 1414, Nanyang Technological University, School of Social Sciences, Economic Growth Centre.
    9. Jellal, Mohamed, 2009. "Family Institution and Filial Attention Contract," MPRA Paper 17713, University Library of Munich, Germany.
    10. Aldieri, Luigi & Fiorillo, Damiano, 2015. "Private monetary transfers and altruism: An empirical investigation on Italian families," Economic Analysis and Policy, Elsevier, vol. 46(C), pages 1-15.
    11. Nikolov, Plamen & Adelman, Alan, 2019. "Do private household transfers to the elderly respond to public pension benefits? Evidence from rural China," The Journal of the Economics of Ageing, Elsevier, vol. 14(C).
    12. Marisa Bucheli & Cecilia Lara, 2018. "Revealing gender gap changes in home production and labor income in Uruguay," Documentos de Trabajo (working papers) 18-12, Instituto de Economía - IECON.
    13. Reil-Held, Anette, 2004. "Crowding out or crowding in? Public and private transfers in Germany," Sonderforschungsbereich 504 Publications 04-68, Sonderforschungsbereich 504, Universität Mannheim;Sonderforschungsbereich 504, University of Mannheim.
    14. Olivera, Javier, 2017. "The division of inter-vivos parental transfers in Europe," The Journal of the Economics of Ageing, Elsevier, vol. 9(C), pages 41-51.
    15. Schoonbroodt, Alice & Tertilt, Michèle, 2014. "Property rights and efficiency in OLG models with endogenous fertility," Journal of Economic Theory, Elsevier, vol. 150(C), pages 551-582.
    16. Reil-Held, Anette, 2005. "Crowding out or crowding in? Public and private transfers in Germany," Papers 04-68, Sonderforschungsbreich 504.
    17. Lai, Mun Sim & Orsuwan, Meechai, 2009. "Examining the Impact of Taiwan's Cash Allowance Program on Private Households," World Development, Elsevier, vol. 37(7), pages 1250-1260, July.
    18. Kazianga, H., 2006. "Motives for household private transfers in Burkina Faso," Journal of Development Economics, Elsevier, vol. 79(1), pages 73-117, February.
    19. Luciano Fanti & Luca Gori, 2012. "Public Expenditure on Health and Private Old-Age Insurance in an OLG Growth Model with Endogenous Fertility: Chaotic Dynamics Under Perfect Foresight," Computational Economics, Springer;Society for Computational Economics, vol. 40(4), pages 333-353, December.
    20. Kananurak, Papar & Sirisankanan, Aeggarchat, 2016. "Do Public Transfers Crowd-out Private Transfers? Evidence from the Thai Socio-Economic Panel Survey," Asian Journal of Applied Economics, Kasetsart University, Center for Applied Economics Research, vol. 23(2), December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:joecag:v:5:y:2015:i:c:p:63-68. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/the-journal-of-the-economics-of-ageing .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.