“…2 For comparison, at the same time, the relation of GDP and public spending on active labor market programs or unemployment remained constant at the level of 0.5 and 1.1 percent, respectively (OECD 2013). 3 While several studies identify fertility effects of taxation schemes (e.g., Milligan 2005, Azmat and González 2010, Laroque and Salanié 2013 or direct per-child cash transfers (e.g., Brewer et al 2011, González 2013, Cohen et al 2013, causal evidence from parental leave reforms is scarce (e.g., Lalive and Zweimüller 2009). 1 incentives for mothers to return to work faster and for fathers to get involved in child rearing (e.g., Riphahn 2011a, Geisler andKreyenfeld 2012). However, except for studies that show a significant shifting of deliveries around the day of implementation (Neugart andOhlsson 2012, Tamm 2012), so far the evidence on the reform's effects on fertility is missing.…”