How do Co- and Non-Residential Children Impact your Subjective Life Expectancy: An Empirical Study on CHARLS Data?

Abstract

Existing studies conclude SLE predicts decision-making in the future. This paper studied how contacts with children influence subjective life expectancy (SLE) of the mid-age and elderly in China. We also investigated the moderation effect of living arrangement preference (LAP). A better understanding of impact factors that contribute to the mid-age and elderly's thoughts about their lifetime is essential for the late-career financial planning and health interventions. Our study examines the relationship between co- and non-residential children and SLE by using two waves of data from China Health and Retirement Longitudinal Study (CHARLS). Our findings suggest that contacts with children help older people construct positive SLE. However, with an increased number of non-residential children, older people will become pessimistic about their SLE. When older people prefer living alone, it decreases the impact of the number of non-residential children on SLE. Our results encourage children to live with their parents and contact their parents from time to time. Interventions that change their ideas about living arrangement preference may actually be useful for mid-age and elderly. The best living arrangement should take the living arrangement preference of older people into consideration and give them the best arrangement according to their preference.