Fewer Siblings, more Wealth? Sibship Size and Wealth Attainment

Lersch, Philipp M.

doi:10.31235/osf.io/9hy6x

Cited by 3 publications

(2 citation statements)

References 47 publications

(76 reference statements)

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“…For multivariable regression and decomposition analysis, the following variables are added: parental education , age , migration background , East Germany , household income , experience in full-time employment , experience of unemployment , civil servant , self-employed , number of parents’ siblings (Lersch, 2019), ever inherited and period (also see Online Appendix).…”

Section: Methodsmentioning

confidence: 99%

Wealth of children from single-parent families: Low levels and high inequality in Germany

Lersch

Grabka

Rüß

et al. 2021

Journal of European Social Policy

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Families’ economic wealth is a resource that can provide children with crucial advantages early in their lives. Prior research identified substantial variation of wealth levels between different family types with children from single-parent families being most disadvantaged. The causes of this disadvantage, how much the disadvantage varies between children and how the non-resident parents’ wealth may potentially reduce the disadvantage remain unclear. To address these research gaps, we use data from the German Socio-Economic Panel (2002–17) to examine the level of and inequality in wealth for children from single-parent families using recentred influence function regression and decomposition analysis. We replicate earlier findings of a large wealth disadvantage for children in single-parent families. We find that the wealth disadvantage can be mainly explained with compositional differences in household income and employment characteristics. Beyond level differences, inequality between children from single-parent families is higher than for other family types and this inequality can only partly be explained by observed demographic and socio-economic characteristics. When considering the wealth of non-resident parents, the wealth disadvantage of children in single-parent families is reduced but remains substantial. JEL-codes: D31, D1, J1

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Section: Methodsmentioning

confidence: 99%

Wealth of children from single-parent families: Low levels and high inequality in Germany

Lersch

Grabka

Rüß

et al. 2021

Journal of European Social Policy

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“…Households with children whose parents are married have higher wealth levels and are more likely to own various assets than other household types (Grinstein-Weiss et al, 2008;Humer, Moser and Schnetzer, 2015). Investigating the association between the number of siblings and the level of household wealth in adulthood showed a negative impact of additional siblings on the wealth of individuals in adulthood (Lersch, 2019).…”

Section: Literature Reviewmentioning

confidence: 99%

The Relationship between Household Wealth and Financial Vulnerability in the Post-communist Countries of the Euro Area

Buleca¹,

šubová²,

Maličká³

2022

ekoncas

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The paper investigates the relationship between household wealth and financial vulnerability in the euro area member countries using data from the European Union Household Finance and Consumption Survey (HFCS). The instrumental variable regression model based on the two-stage least square method was used to elicit the role of household financial vulnerability in wealth accumulation. To consider different historical development and implementing social policies, the analysis considers the household location (post-communist countries according to the Warsaw Treaty and other European countries with a core in Western Europe). The analysis results emphasise the positive relationship between households' wealth accumulation and financial vulnerability represented by household indebtedness. Additional variables reflecting the households' socio-economic and demographic characteristics are statistically significant, too. Debt service-to-income ratio, statuses of employment (employed and self-employed), and age of the reference person squared were driving forces of wealth accumulation, while age of the reference person, number of dependent children, employment status (retired, other), and geographical location lower the level of household wealth.

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Family Size and Parental Wealth: The Role of Family Transfers in Europe

Winkle

Monden

2022

Eur J Population

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As baby boomers enter retirement, an increasing portion of the population in Europe will rely on wealth as a source of financial security. We address two research questions: what is the association between family size, i.e. the number of children, and wealth for adults who are preparing for or have entered retirement and does the generosity of family transfers moderate that association? Data from the Survey of Health, Ageing, and Retirement in Europe (SHARE) are used to estimate the relationship between family size and the total household net worth of men and women between ages 50–65, born 1939–1967 from 14 European countries. We use logistic and linear regression modelling to investigate the probability of zero or negative wealth and net worth percentile rank. We find that adults with four or more children are more likely to be in debt and have less wealth than childless adults. In contrast, adults with two and three children have more wealth. We provide evidence that the generosity of family transfers ameliorates the negative association between larger family sizes and wealth, but may exacerbate wealth inequality by benefiting two and three child families most.

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Fewer Siblings, more Wealth? Sibship Size and Wealth Attainment

Cited by 3 publications

References 47 publications

Wealth of children from single-parent families: Low levels and high inequality in Germany

Wealth of children from single-parent families: Low levels and high inequality in Germany

The Relationship between Household Wealth and Financial Vulnerability in the Post-communist Countries of the Euro Area

Family Size and Parental Wealth: The Role of Family Transfers in Europe

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