| By: |
Joan Costa-i-Font;
Sergi Jiménez-Martín;
Cristina Vilaplana-Prieto |
| Abstract: |
We estimate the health and wellbeing effects of subsidized access to long-term
care (LTC). Our analysis exploits the staggered implementation of Spain’s 2007
System of Autonomy and Care for Dependent People (SAAD), which expanded
publicly funded and universal LTC subsidies and supports, as well as its
subsequent reform. Using two decades worth of administrative and survey data
and leveraging exogenous regional and individual-level variation in program
exposure, we find that access to SAAD benefits reduces the care receiver’s
depressive symptoms by about 1 percentage point, increases its survival
probability by 2.6–3 percentage points, and raises its life satisfaction by
0.24–0.50 scale points. Cost-effectiveness estimates indicate that the implied
cost per quality-adjusted life year (QALY) gained lies below commonly accepted
efficiency thresholds for public health spending in Europe. These findings
document sizeable health returns and efficiency gains from publicly subsidized
LTC provision |
| Keywords: |
long-term care subsidies, long-term care supports, old age care, Spain, mortality, cost per QALY, survival, mental health, and life satisfaction. |
| JEL: |
I18 J14 J16 |
| Date: |
2026 |
| URL: |
https://d.repec.org/n?u=RePEc:ces:ceswps:_12943 |