In 2022, the aged 60 and above population in China reached 280 million, accounting for 20% of the total population, of whom nearly 210 million were aged 65 and above[]. By 2035, people aged 60 and above will exceed 400 million, accounting for over 30% of the total population, with China entering the stage of severe aging. Within the old-age population, the disabled elderly will exceed 77 million by 2030, living on average 7.4 years with a disability [] and reaching 120 million by 2050 []. Unsurprisingly, the demand for long-term care (LTC) services is experiencing explosive growth, estimated to require more than 13 million caregivers in 2030. In the face of declining family sizes, rural-urban migration, economic development and shifting cultural attitudes, the breakdown of China’s traditional family care model, where family members care for the old-aged, exacerbates the old aged LTC challenge. Beginning in 2016, China piloted a long-term care insurance policy in 15 cities. By 2022, nearly 170 million old-aged adults were cared for by 331,000 nurses in 7,679 long-term care service facilities in 49 cities[]. The demand for LTC insurance is expected to grow with LTC facilities becoming the main care model for the old aged.
Formal long-term care offers significant advantages for the old aged, including specialized care, enhanced safety, and personalized care plans, facilitated by professionally trained caregivers and supported by advanced medical equipment and services. Despite an extensive literature from various countries examining older adults' preferences for LTC, research on the influence of peer effects on the old-aged preferences for LTC services remains limited. To address this lacuna, our study evaluated peer effects on older adults’ preferences for formal LTC in China, seeking to enrich the formal LTC literature and highlighting the role of social dynamics in shaping the over 60s’ care preferences in China.
Studies of the LTC preferences by the old-aged have yielded diverse findings. Jennifer et al. discovered that disabled older women generally prefer home assistance, whether unpaid or paid, for instrumental activities of daily living (IADL) and activities of daily living (ADL), yet opted for nursing home care in cases of dementia[]. Examining how age, period, and cohort influenced LTC preferences of older Japanese adults, Sugisawa et al found time and age explained the gap between the preferences for LTC services and actual LTC use[]. In an exploratory literature scoping review on LTC preferences, Thomas et al. found most participants favor receiving LTC in their known physical and social environment when care needs were moderate, but residential care when care needs were extensive, dependent on a variety of personal, environmental, social and cultural aspects[]. In Germany, Lehnert et al. found that the old aged preferred regular small nursing service teams, providing a narrow range of services[], and Kim and Choi revealed that the perspectives of the Korean old-aged and of their caregivers were the primary predictive factors for the use of formal and nursing home care services []. Research has also studied adjustment to “prison-like” Taiwanese LTC facilities[], LTC financing[], preferences for home-based, family care and community care [] and the role of race on LTC preferences[]. In China, the elderly's preferences for long-term care services are shaped by diverse factors, including traditional culture and family structure. Cao et al. argued that due to the influence of traditional Chinese values, such as filial piety and the concept of "raising children for old age security," many rural elderly show a preference for receiving LTC at home, provided either by family members or external caregivers[]. But societal shifts, the ‘one-child’ policy, urban migration and the transformation of family structures, the prevalent family model in China places the burden for elderly care predominantly on the only-child generation, leading to considerable caregiving pressures. This shift has prompted a growing number of elderly individuals to explore alternative care options, including community and institutional care[,]. The existing international and Chinese literature suggests diverse preferences among the elderly for LTC, including desires for home-based care, residential care, community involvement in LTC, and the influence of family and caregivers. These findings underscore the complexity of LTC preferences, which are influenced by individual, cultural and social factors.
Our study focuses on the influence of peers, or peer effects, on the preferences of the old-aged Chinese for formal LTC. Mainly concentrated in economics, sociology and education research[,,], peer effects refer to the influence on an individual’s preferences by peers who share similar ages, backgrounds, attitudes, values and socioeconomic position [17,,]. Peer effects may imply a form of contagion, where one person’s social decisions exert subsequent impacts on the behaviors of others, magnifying positive or negative effects[21]. Similarly, peer effects mean individuals conform to group consciousness and seek to integrate into their immediate social environments for a sense of belonging[]. Through a randomized controlled experiment, we test the peer effects on Chinese older aged adults’ preferences for formal LTC and analyze the extent to which the peer effects influence the willingness of the elderly to accept formal LTC services.