We evaluate the effect of supplementary long-term care insurance, which would limit the costs of a stay in a care facility. A higher long-term care insurance subsidy reduces the costs of a stay in a care facility and increases the welfare of those in need of care. However, falling costs could...

We evaluate the effect of supplementary long-term care insurance, which would limit the costs of a stay in a care facility. A higher long-term care insurance subsidy reduces the costs of a stay in a care facility and increases the welfare of those in need of care. However, falling costs could...