Objective: This study offers a new approach to analyzing life course inequalities and applies it to the link between divorce and poverty.Background: Previous research has suggested that divorce drives cumulative inequality between education groups during the life course. Two pathways play a role in this process: the educational gradient in the risk of divorce and the educational gradient in economic vulnerability to divorce. Both pathways should be studied simultaneously to understand how divorce drives inequality.
This paper provides a systematic review of studies on the effects of human capital interventions on entrepreneurial performance in industrialized countries. We identify 21 experimental and quasi‐experimental studies published before September 2018. These studies examine the effects of business training, formal education, and entrepreneurship education. Their performance outcomes include firm profits, firm size, and entrepreneurial earnings. The main finding across these studies is that these interventions do not have statistically significant effects. Formal education is the only exception, showing positive effects on firm profits and entrepreneurial earnings, yet these effects are small in magnitude. Evidence is inconclusive regarding effect duration. These findings stand in stark contrast to correlational studies, which tend to find large positive correlations between human capital interventions and entrepreneurial performance. We therefore conclude that correlational studies tend to overestimate the benefits of human capital interventions. Moreover, our estimates show that the interventions are associated with moderately low additionality.
In many Western countries, coresidential unions of lower educated people are less stable than those of higher educated people. A prominent explanation of this gradient in union dissolution holds that the lower educated experience more strain. Evidence for this explanation has been limited by a focus on only the economic dimension of strain and on only one partner in each union. In this study, we broadened the concept of strain to cover multiple life domains and capture the experience of both partners in each union. To do so, we used longitudinal data from the Household, Income and Labour Dynamics in Australia survey (N = 52,574 union-years; 7,930 unions). Generalized structural equation models showed that lower educated individuals experienced more strain not only in the economic domain but also in other life domains. Moreover, lower educated individuals tended to have partners who experienced more strain as well. In total, the joint experience of life strains explained 49% of the education gradient in union dissolution. These results suggest that life strains are pivotal to the stratification of family life.
Union dissolution is a critical event for women’s living standards. Previous work has found that women in high-income unions lose more from union dissolution than women in low-income unions. This study proposes two mechanisms to explain this “convergence” in living standards. The compensation mechanism concerns the ability to compensate the loss of partner earnings with alternative sources of income, whereas the partner independence mechanism concerns how much women stand to lose from dissolution in the first place. To test these mechanisms, the author drew on a unique administrative dataset from the Netherlands, covering women who experienced dissolution within ten years after union formation (N = 57,960). A decomposition analysis showed that convergence was not driven by compensation: women from all income groups decreased their household size and re-partnered, women from low-income unions increased transfer income, and women from high-income unions increased personal earnings and decreased tax payments. Instead, convergence was driven by partner independence: women from lower-income unions depended relatively less on their partners because they relied more on transfer income prior to dissolution. These results demonstrate how partners’ interdependence moderates the consequences of life events. The welfare state plays a crucial role in this process.
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