How Sustainable is the Familial Support of Elderly in Asia?
- 184 Downloads
This paper examines the extent of familial monetary support for the elderly in China, India, Indonesia, Japan, Korea, the Philippines, and Thailand, representing diverse public social security and assistance programs for the elderly across Asian countries. Using the National Transfer Accounts framework, Japan was found to experience the highest and China the lowest lifecycle deficit (LCD). Except Indonesia, the consumption of public and private goods and services at old ages is fast increasing in the Asian countries. In Japan public transfer supports 39.4% of the LCD of the 60 plus population and private asset-based reallocation, which includes liquidation and sale of assets, finances 33.7%. On the other in Indonesia and India LCD of elderly is largely 70.5 and 63.9% respectively are met by private asset-based reallocation. Public support for the 60 plus population in South Korea constitutes 22.9% of the LCD, whereas 52.6% is met by asset-based reallocation. The corresponding figures for China are 41.3 and 32.2% respectively.
KeywordsAgeing Familial support Transfers Asset reallocations Social security
Suggestions and comments of anonymous reviewers are very useful in the revision and improvement of the paper and are gratefully acknowledged. The authors also thank the participants of the Annual Meeting of Population Association of America 2016 held at Marriot Wardman Park, Washington, D.C., USA, for their valuable suggestions.
Compliance with Ethical Standards
Conflict of Interest
There is no potential conflict of interest.
This research is not funded by any organizations or institutions.
- Adioetomo, S. M., & Mujahid, G. (2014). Indonesia on the Threshold of Population Ageing, Monograph Series No.1. United Nations Population Fund (UNFPA). http://indonesia.unfpa.org/application/assets/publications/BUKU_Monograph_No1_Ageing_03_Low-res.pdf. Accessed 8 Jan 2016.
- An, C. B., Chun, Y. J., Gim, E. S., Hwang, N., & Lee, S. H. (2011). NTA country report, South Korea, 2000. National Transfer Accounts. http://www.ntaccounts.org. Accessed 2 July 2016.
- Arokiasamy, P., Bloom, D., Lee, J., Feeney, K., & Ozolins, M. (2011). Longitudinal aging study in India: vision, design, implementation, and some early results. PGDA working paper no. 82, Harvard initiative for Global Health. http://www.hsph.harvard.edu/pgda/working. Accessed 31 Jan 2016.
- Asian Development Bank. (2007). Preparatory studies on National Social Security System in Indonesia. Philippines: Asian Development Bank.Google Scholar
- Aziz, J., & Cui, L. (2007). Explaining China’s low consumption: The neglected role of household income. In IMF working paper 07/181. Washington: International Monetary Fund.Google Scholar
- Barnett, S., & Brooks, S. (2010). China: Does government health and education spending boost consumption? In International Monetary Fund, working paper, WP 10/16. Washington: International Monetary Fund.Google Scholar
- Becker, G. (1991). A treatise on the family. Cambridge: Harvard University Press.Google Scholar
- Becker, G. S. (1974). "A theory of social interactions". Journal of Political Economy. Chicago Journals, 82(6), 1063–93.Google Scholar
- Becker, G., & Tomes, N. (1976). Child endowments and the quantity and quality of children. Journal of Political Economy, 84, 142–163.Google Scholar
- Bose, A. B. (2006). Social security for the old: Myth and reality. New Delhi: Concept Publishing Company.Google Scholar
- Chaudhuri, A., & Roy, K. (2007). Gender Differences in Living Arrangements among Older Persons inIndia. https://www.online.sfsu.edu/anoshua/research/GenderDiff_livarrangmnt_Elderly_Chaudhuri_Roy.pdf. Accessed 30 Jan 2016.
- Chinese Longitudinal Healthy Longevity Survey (CLHLS). (1998–2005). (ICPSR 24901). Yi, Zeng, Duke University, and Peking University; Vaupel, James W., Max Planck Institutes, and Duke University; Zhenyu, Xiao, Beijing University. China National Research Center on Aging; Yuzhi, Liu, Peking University. Center for Healthy Aging and Family Studies; Chunyuan, Zhang, Peking University. Center for Healthy Aging and Family Studies.Google Scholar
- Edes, B. W., & Morgan, P. J. (2014). Managing fiscal sustainability and aging in emerging Asia. Public Policy Review, 10(2), 319–347.Google Scholar
- Goode, W. (1963). World revolution and family patterns. Glencoe: Free Press.Google Scholar
- Government of India. (2007). The Maintenance and Welfare of Parents and Senior Citizens Act, 2007′, Ministry of Social Justice & Empowerment Justice & Empowerment. http://socialjustice.nic.in/oldageact.php. Accessed 25 April 2017.
- Hermalin, A.I., Chang, M.C., & Roan, C. (2002). Economic well-being: insights from multiple measures of income and assets. The well-being of the elderly in Asia: A four-country comparative study. A.I. Hermalin (pp. 295–360). Ann Arbor: University of Michigan Press.Google Scholar
- Kim, Y. M. (2006). Towards a comprehensive welfare state in Korea: Institutional features, new socio-economic and political pressures and the possibility of welfare state. In Asia research Centre working paper 14. London school of: Economics & Political Science, London www.lse.ac.uk/collections/asiaresearchCentre. Accessed 19 Sept 2015.Google Scholar
- Knodel, J., Prachuabmoh, V., & Chayovan, N. (2013). The changing well-being of Thai elderly: An update from the 2011 survey of older persons in Thailand. Thailand: HelpAge International.Google Scholar
- Korean National Statistical Office. (2012). 2011 Statistics on the Aged. http://www.kosis.nso.go.kr/. Accessed 22 September 2015.
- Koyano, W. (2015). Population aging, changes in living arrangement, and the new long-term care system in Japan. The Journal of Sociology & Social Welfare, 26(1), 155–167.Google Scholar
- Kumagai, F. (2015). Demographic changes in Japan. In Family issues on marriage, divorce, and older adults in Japan (pp. 11–38). Singapore: Springer.Google Scholar
- Ladusingh, L., & Narayana, M. R. (2011). NTA country report, India, 2004. National Transfer Accounts. http://www.ntaccounts.org. Accessed 2 July 2016.
- Leckie, S. H. (2012). Pension Assets in China. paper presented in The Actuarial Profession and Social and Economic Development. Joint IACA, IAAHS and PBSS colloquium in Hong Kong. www.actuaries.org/HongKong/. Accessed 5 Nov 2015.
- Lee, R. (2000). A cross-cultural perspective on intergenerational transfers and economic life cycle. In A. Mason & G. Taponos (Eds.), Sharing the wealth: Demographic change and economic transfers between generations. Oxford: Oxford University Press.Google Scholar
- Lee, S. (2015). Social security system of South Korea. Indo-American development Bank, working technical note no. IDB-TN-872.Google Scholar
- Li, L., Chen, Q., & Jiang, Y. (2011). NTA country report, China 2002. National Transfer Accounts. http://www.ntaccounts.org. Accessed 2 July 2016.
- Maliki (2011). NTA country report, Indonesia, 2005. National Transfer Accounts. http://www.ntaccounts.org. Accessed 2 July 2016.
- Manasan, R. G. (2009). A review of social insurance in the Philippines. Philippine Journal of Development, XXXVI, 2, 47–68.Google Scholar
- Ministry of Education. (2013). Education Statistical Yearbook in China. http://www.moe.edu.cn/publicfiles/business/htmlfiles/moe/moe_633/201208/141305. html. Accessed 13 April 2017.
- Mujahid, G. (2006). Population Ageing in East and South-East Asia: Current Situation and Emerging Challenges, Papers in Population Ageing. No.1: Bangkok, UNFPA country technical services team for east and South-East Asia. http://www.eldis.org/go/home&id=23355&type=Document#.WNFG9vnys2w. Accessed 14 April 2017.
- Mujahid, G. (2012). Social protection for older persons in Asia and the Pacific. Bangkok: United Nations Economic and Social Council for Asia and the Pacific http://www.unescapsdd.org/files/documents/MIPAA_Paper-Social-Protection-and-Ageing.pdf. Accessed 14 April 2017.Google Scholar
- Muliati, I. (2013). Pension reform experience in Indonesia. Paper prepared for IMF Conference for Designing Equitable and Sustainable Pension Post Crisis World, Tokyo, January, 9-13, 2013 https://www.imf.org/external/np/seminars/eng/2013/oapfad/pdf/muliati_ppr.pdf. Accessed 25 January 2016.Google Scholar
- National Institute of Population and Social Security Research (NIPSSR). (2011). Social security in Japan. http://www.ipss.go.jp/s-info/e/Jasos2011/ss2011.pdf. Accessed 19 Sept 2015.
- OECD (2014). Society at a Glance–OECD Social Indicators. www.oecd.org/social/societyataglance.htm. Accessed 23 April 2017.Google Scholar
- OECD. (2011). Pensions at a glance 2011: Retirement income systems in OECD and G20 countries. OECD Publishing. doi: 10.1787/pension_glance-2011-en Accessed 15 Sept 2015.
- Ogawa, N., Matsukura, R., & Chawla, A. (2012). NTA country report, Japan, 2004. National Transfer Accounts. http://www.ntaccounts.org. Accessed 2 July 2016.
- Oizumi, K. (2013). Aging in Asia. Tokyo: Oriental Life Insurance Cultural Development Center.Google Scholar
- Oshio, T., & Oishi, A. S. (2004). Social security and retirement in Japan: An evaluation using micro-data. In J. Gruber & D. A. Wise (Eds.), Social security programs and retirement around the world: Micro-estimation (pp. 399–460). Chicago: University of Chicago Press.Google Scholar
- Park, D. (2009). Ageing Asia’s Looming Pension Crises. ADB economics working paper series no. 165. Manila.Google Scholar
- Phananiramai, M. (2011). NTA country report, Thailand, 2004. National Transfer Accounts. http://www.ntaccounts.org. Accessed 2 July 2016.
- Racelis, R. H., & Ian Salas, J. M. (2011). NTA country report, Philippines, 1999. National Transfer Accounts. http://www.ntaccounts.org. Accessed 2 July 2016.
- Racelis, R. H., Abrigo, M. R. M., & Salas, J. M. I. S. (2012). Filipino Elderly Living Arrangements, Work Activity, and Labor Income as Old-age Support. Philippine Institute for Development Studies, discussion paper series no. 2012-31.Google Scholar
- Rajan, I., & Kumar, S. (2003). Living arrangement among India elderly–new Evidences from National Family Health Survey. Economic and Political Weekly, 38(1), 75–80.Google Scholar
- Republic of Singapore (1996). The Maintenance of Parents Act, Cap.167B, Singapore.Google Scholar
- Social Security Administration. (2011). Social security programs throughout the world: Asia and the Pacific, 2010. SSA publication no. 13–11802 (p. 99–106). Washington, DC: US Social Security Administration.Google Scholar
- United Nations. (2013). National Transfer Accounts Manual-Measuring and analysing the generational economy. New York: United Nations.Google Scholar
- United Nations. (2015). World Population Prospects. Population Division: Department of Economic and Social Affairs. http://www.un.org/en/development/desa/publications/world-population-prospects-2015-revision.html. Accessed 24 Jan 2016.
- World Bank. (2012). Public expenditure review summary, social assistance program and public expenditure review 1. In Jakarta: The world bank. Jakarta Office and Washington D.C.: The World Bank.Google Scholar
- World Bank (2015). Gross domestic product 2015. World Development Indicators, The World Bank. http://databank. worldbank.org/data/download/gdp.pdf. Accessed 20 April 2017.