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This paper takes stock of recent developments in the literature, summarizes key findings, provides a synthesis of theories and models, and reviews issues pertaining to statistical inference. It also suggests a road map for further research and identifies what appear to be the most salient problematic issues and likely solutions. The paper is in five sections. In Section I, I review briefly some well-known and other lesserknown characteristics of the aging process in both developed and developing countries. Using the case of Latin America as an example, it highlights conditions of the aging process that will constrain the social and demographic space where changes in future living arrangements of the elderly can take place. Section II examines the nature of recent trends in living arrangements, the current situation in both developed and developing countries, and reviews evidence regarding the relation between coresidence and well-being. Section III locates elderly living arrangements in a theoretical niche carved by the literature on households, families and intergenerational transfers, and identifies the most important findings for both developing and developed countries. Section IV offers an examination of theoretical 3 2
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