Discussion of: Marital Disruption, Step Children, and Transfers to the Elderly Jennifer L. Troyer Departments of Economics and Health Behavior and Administration University of North Carolina at Charlotte

Purpose of Study To examine the effect of nontraditional family structures on adult children’s transfers to their disabled elderly parents. To examine the effect of nontraditional family structures on adult children’s transfers to their disabled elderly parents. –Time –Cash –Living Arrangements Limited study to children of parents who are disabled and widowed or divorced/separated (unpartnered). Limited study to children of parents who are disabled and widowed or divorced/separated (unpartnered).

Effect of Marital Disruption and Step Children on Bio Child/Parent Bond Marital Disruption Marital Disruption –Divorce (Separation) Effect depends on gender of parent? Effect depends on gender of parent? –Remarriage Step Children (conditional upon remarriage) Step Children (conditional upon remarriage) –How is a step child defined? Does the step child still get counted if there is a divorce?

Effect of Marital Disruption and Step Children on Bio Child/Parent Bond Is it useful to think about divorce/separation vs. widowhood and remarriage simultaneously? Is it useful to think about divorce/separation vs. widowhood and remarriage simultaneously? –Widowed and never remarried –Divorced and never remarried –Widowed and remarried ever –Divorced and remarried ever

Family Type Construction Family type Family type –Only child Step child or bio child Step child or bio child –Child with siblings Could be no step children Could be no step children –Implies bio siblings Could be step children Could be step children –Could be bio siblings and/or step siblings Four variables for Child with Siblings Four variables for Child with Siblings –Index Child is Step Child –Parent has other Step Children –Parent has other Bio Children –Bio Child*Parent has Step Child

Models and Results Models – separate models for only children and children with any siblings Models – separate models for only children and children with any siblings –Bivariate probit for time and cash Do widowhood and divorce have the same impact on financial “need”? Do widowhood and divorce have the same impact on financial “need”? –Multinomial probit for living arrangement Positive correlation between time and cash transfers – also parent lives with index child? Positive correlation between time and cash transfers – also parent lives with index child? In only child model, would divorce and only child being a bio child be very highly correlated? In only child model, would divorce and only child being a bio child be very highly correlated? Table 4 (simulated probabilities) for remarried or divorced and not just step children? Table 4 (simulated probabilities) for remarried or divorced and not just step children?