The impact of education on instrumental activities of daily living: evidence from Europe using SHARE data

Purpose This study investigates the relationship between education and difficulties in Instrumental activities of daily living (IADLs) among older adults across Europe. It explores how this relationship varies by cultural context, gender, using robust econometric techniques to account for potential endogeneity. Design/methodology/approach Using data from the Survey of Health, Ageing and Retirement in Europe (SHARE) for individuals aged 50 and over, we employ both probit and IV-Probit estimator regressions to estimate the impact of education on IADL difficulties. We employ compulsory schooling as instrumental variable. We conduct heterogeneity analyses by gender and cultural orientation (individualistic vs. collectivistic countries). Findings Education significantly reduces IADL difficulties, particularly in collectivistic societies and among older women. The effect is less pronounced or statistically insignificant in individualistic countries. Robustness checks confirm the stability of these results across alternative specifications and subsamples. Originality/value This study contributes to the literature by highlighting the cultural and demographic nuances in the education-health relationship. It underscores the importance of considering societal values and gender roles when designing policies aimed at promoting healthy aging and functional independence.