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Using recent survey data from the Panel Study of Family Dynamics (PSFD) on 1,655 married persons born in 1964-1976 in southeastern China and Taiwan, we studied coresidence with elderly parents using a multinomial probit model for coresidence type and an ordered probit model for residential distance. The study yielded four findings: (a) Patrilocal coresidence was more prevalent in Taiwan than in China; (b) matrilocal coresidence was more prevalent in China; (c) practical factors mattered in both places; (d) in Taiwan only, a couple's economic resources facilitated breaking away from patrilocal coresidence. The findings suggest that, although economic development does not necessarily result in less traditional familial culture, personal economic resources may enable individual couples to deviate from tradition. [ABSTRACT FROM AUTHOR]