long-term care use and supply in europe: projections for germany ...

LONG-TERM CARE USE AND SUPPLY IN EUROPE | 19
getting in or out of bed). The ADL variable has been recoded into four categories: 0 limitation, 1
limitation, 2 limitations, 3 or more limitations. A similar procedure has been used to construct the IADL
variable. It is based on seven items: 1. Using a map, 2. Preparing a hot meal, 3. Shopping for groceries,
4. Making telephone calls, 5. Taking medications, 6. Doing work around the house or garden, 7.
Managing money) and has been recoded into the same four categories: 0 limitations, 1 limitation, 2
limitations, 3 or more limitations. Chronic conditions refers to the number of chronic diseases reported,
ranging from 0 to 10. The cognitive functioning measure is based on the outcomes of simple tests of
orientation in time, memory, verbal fluency and numeracy. Using principle components analysis an
index of cognitive functioning has been constructed and quintile scores have been used for the present
analysis. A higher score indicates better cognitive functioning.
c. Analysis
For each of the three countries, determinants of type of care have been examined using multinomial logit
models. In a first step all predisposing, enabling and needs variables have been included in the models.
Next, variables with a t-value below one for all care categories of the dependent variable have been
excluded. Cluster robust variance estimation has been used to correct for the clustering of observations
within individuals (as pooled wave 1 and 2 data have been used) and of individuals within households.
Analyses have been conducted using the calibrated cross-sectional individual weights for the total
sample (wgtACI).
3.3 Model results
3.3.1 Germany
Table 3.1 presents estimated coefficients of the multinomial logit model for Germany.
Age is the only significant predisposing variable. Higher age increases the chances of using both formal
and informal care. Age has no significant effect on using formal care only and its effect on using
informal care only is generally not significant either, with one exception: persons aged 85 and over are
more likely to use informal care only than persons aged 65 to 69. Neither gender nor education is
significantly associated with care use. Of the enabling variables, household composition and income are
significant. Living alone decreases the probability of using informal care only and increases the
probability of using formal care only. A higher income increases the likelihood of combining informal
and formal care. Having children has not been included in the final model for Germany (t