17.04.2018; Kolloquium
Kolloquium - Alexander Karmann "Social Assistance as a Source of Moral Hazard: Evidence from a Comparative Study of Japanese and German Nursing Home Care"
Abstract:
This research provides a comparative study for Japanese and German nursing home care. Although these two aging countries share similar policies based on universal social insurance for long-term care, descriptive statistics show the existence of a large difference in outcomes of their nursing home sectors. This research pursues the reason behind these observations from environmental and institutional difference in two countries. Our empirical analysis is comprized by two empirical methods, regression with the Blinder-Oaxaca decomposition and data envelopment analysis using regional data for the past decade. Our empirical results indicate that different outcomes are driven both by endowmental and institutional differences. Among the institutional elements, our empirical analysis indicates existence of moral hazard in Germany due to generous social assistance for low income elders.