Working Paper: NBER ID: w10882
Authors: Olivia S. Mitchell; John Piggott; Satoshi Shimizutani
Abstract: This study explores economic aspects of the market for long term care (LTC) with a special focus on Japan. First, we describe the LTC system in Japan as presently implemented, and we highlight some aspects of the program that are novel and potentially of interest to other countries seeking models for long-term care provision. Next, we discuss alternative projections of Japanese LTC utilization and costs. Finally, since Japan appears likely to experience important shortfalls in LTC in the future, we discuss whether such services might be more efficiently organized and financed under alternate forms of provision.
Keywords: long term care; Japan; LTC system; elderly care; health care financing
JEL Codes: H53; H55; I11; I18; I38
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Aging population (J11) | Demand for LTC services (J29) |
| Current LTC system (E42) | Shortfalls in service availability (L86) |
| Rising incomes (F61) | Demand for LTC services (J29) |
| Increased bed capacity (D25) | Demand for LTC services (J29) |
| Population density (J11) | Entitlement rates (H55) |
| Higher healthcare salaries (I11) | Entitlement rates (H55) |