If you do put the elderly into institutions the most important thing to look at is are the elderly being pampered? Are each and every one of their needs met by the staff? Are the elderly completely and fully cared for?
If you answered yes to any of those questions, don't put your loved ones there. Several studies have shown that if you take away all the responsibilities of an old man or woman and pamper them they will quickly lose the will to live and tend to die off fairly early. It is very important, especially for the elderly to still have some responsibilities, even if it's just taking care of their own plant in the room or perhaps a cat. Basically, a reason to wake up every morning.
Those who had responsibilities were happier and lived longer in these institutions than did the elderly who had every need taken care of by someone else.