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Externality and Strategic Interaction in the Location Choice of Siblings under Altruism toward Parents

Young family at home

Meliyanni Johar and Shiko Maruyama

When siblings wish for the well-being of their elderly parents, the cost of caregiving and long-term commitment creates a free-rider problem among siblings. We estimate a sequential game to investigate externality and strategic interaction among adult siblings regarding their location choice relative to their elderly parents.


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