Parental Job Loss and Children's School Performance

Rege, Mari; Telle, Kjetil; Votruba, Mark

doi:10.1093/restud/rdr002

Cited by 220 publications

(208 citation statements)

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“…While the literature analyzing educational outcomes finds negative short-term effects of paternal unemployment (e.g., Rege et al 2011, Gregg et al 2012, Pinger 2012, evidence on longer-run effects exists only for Canada and the U.S. (Coelli 2011, Wightman 2012) and points at a negative causal effect. Given the very different education systems, in particular with respect to the funding of post-secondary education, it is unclear whether the effect on educational outcomes is also negative in Germany.…”

Section: Introductionmentioning

confidence: 99%

“…Instead, most study short-term school performance effects. Ananat et al (2008), Rege et al (2011), andGregg et al (2012) find a detrimental effect of parental unemployment on offspring's school grades for the U.S., Norway, and the U.K., respectively. Stevens and Schaller (2011) report an increased propensity to repeat grades for U.S. pupils and Andersen (2013) shows that U.K. children lower their schooling ambitions during parental unemployment.…”

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confidence: 99%

“…The literature on the short-run effects of paternal unemployment discusses the role of income shocks (e.g., Rege et al 2011). We do not consider income effects for several reasons: first, in our framework the relevant unemployment shock can occur 14 years prior to the outcome measure.…”

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Paternal unemployment during childhood: causal effects on youth worklessness and educational attainment

2016

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Using long-running data from the German Socio-Economic Panel we investigate the impact of paternal unemployment on child labor market and education outcomes. We first describe correlation patterns and then use sibling fixed effects and the Gottschalk (1996) method to identify the causal effects of paternal unemployment. We find different patterns for sons and daughters. Paternal unemployment does not seem to causally affect the outcomes of sons. In contrast, it increases both daughters' worklessness and educational attainment. We test the robustness of the results and explore potential explanations. We thank seminar participants at the BGPE Research Workshop in Augsburg, the University of Sydney, the University of Otago, the ESPE conference in Braga, the cesifo Area conference on the Economics of Education, the EEA conference in Toulouse, the EALE conference in Ljubljana, and our discussant Chris Karbownik for very helpful comments. We are the first to offer evidence for the German case on the long-run effect of paternal unemployment on offspring's educational attainment in general and for daughters specifically. Terms of use: Documents in EconStor mayGermany is particularly interesting as, on the one hand, the OECD advised to increase enrollment in tertiary education (OECD 2012) and, on the other hand, Germany faces low youth 1 The latter argument touches the debate about possible credit constraints on post-secondary education attendance (e.g., Cameron and Taber 2004). Such financial constraints might be more severe in countries with tuition fees, such as the U.S., than in Germany where tertiary education is generally free and costs mainly consist of foregone earnings. 3 unemployment. We take advantage of long running panel data from the German SocioEconomic Panel (SOEP) to investigate correlation and causation patterns. Fixed effects techniques and the Gottschalk (1996) method identify causal relationships.We contribute to the literature in a number of ways. First, this is the first study on the long-run effect of paternal unemployment on educational attainment for Europe. Second, we provide the first study on the intergenerational transmission of unemployment for daughters for Germany. Third, by looking at unemployment and education in one study, we provide a more complete picture on the effect of paternal unemployment. Fourth, given the (mostly data driven) variety in the definition of treatment age in previous studies, we provide systematic evid...

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Section: Introductionmentioning

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Paternal unemployment during childhood: causal effects on youth worklessness and educational attainment

2016

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“…The authors also reported estimates for family income effects. Interestingly, the results diverged somewhat: two of the studies found only negligible income effects (Rege et al, 2011;Bettinger et al, 2013), while the other two (Haegeland et al, 2010;Black et al, 2014) indicated that an augmented family income could actually lead to better performance in lower secondary school.…”

Section: The Norwegian Setting and Norwegian Studiesmentioning

confidence: 99%

The effects of parental income on Norwegian adolescents’ school grades

Elstad

Bakken

2015

Acta Sociologica

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Associations between family income and offspring's educational attainment are wellestablished. A debated topic is whether this association is due to the causal influence of family income per se or arises because of other family-related circumstances which correlate with income. This study examines the relationship between parental income and Norwegian adolescents' school grades, using register data on all 16-years old graduates from lower secondary schools during 2002-2011. Data are analyzed both by conventional ordinary least square regression and by sibling analyses using fixed effect models. The sibling analyses control not only for observed covariates, but also for unobserved time-invariant environmental and family-related characteristics, implying that the causal effects of income may be better approximated. The results indicate that generally, variations in parental income in contemporary Norway have modest effects on lower secondary school grades. However, noteworthy income effects are found among the five per cent families with lowest incomes, suggesting that in these families, lack of income hinders children's school performance.

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“…Indeed, several studies suggest that, by altering pre-existing socio-economic conditions of the family, paternal job loss has strong and persistent spillover effects on the life course of adolescents (Coelli, 2011, Kalil and ZiolGuest, 2008, Kind and Haisken-DeNew, 2012, Pinger, 2012, Powdthavee and Vernoit, 2013, Rege et al, 2011, Stevens and Schaller, 2011.…”

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The Causal Effect of Paternal Unemployment on Children's Personality

2015

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Terms of use: Documents in SOEPpapers on Multidisciplinary Panel Data Research at DIW BerlinThis series presents research findings based either directly on data from the German SocioEconomic Panel study (SOEP) or using SOEP data as part of an internationally comparable data set (e.g. CNEF, ECHP, LIS, LWS, CHER/PACO). SOEP is a truly multidisciplinary household panel study covering a wide range of social and behavioral sciences: economics, sociology, psychology, survey methodology, econometrics and applied statistics, educational science, political science, public health, behavioral genetics, demography, geography, and sport science.The decision to publish a submission in SOEPpapers is made by a board of editors chosen by the DIW Berlin to represent the wide range of disciplines covered by SOEP. There is no external referee process and papers are either accepted or rejected without revision. Papers appear in this series as works in progress and may also appear elsewhere. They often represent preliminary studies and are circulated to encourage discussion. Citation of such a paper should account for its provisional character. A revised version may be requested from the author directly.Any opinions expressed in this series are those of the author(s) and not those of DIW Berlin.Research disseminated by DIW Berlin may include views on public policy issues, but the institute itself takes no institutional policy positions. show that paternal unemployment has a surprisingly positive causal effect on the "Big 5" personality traits of children aged 17 to 25. In particular, our results from longitudinal value-added models for personality suggest that paternal unemployment makes children significantly more conscientious and less neurotic. Our results are robust to different estimation methods and to selection on unobservables. Furthermore, these effects are stronger for girls and for children whose mothers are employed.

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Parental Job Loss and Children's School Performance

Cited by 220 publications

References 34 publications

Paternal unemployment during childhood: causal effects on youth worklessness and educational attainment

Paternal unemployment during childhood: causal effects on youth worklessness and educational attainment

The effects of parental income on Norwegian adolescents’ school grades

The Causal Effect of Paternal Unemployment on Children's Personality

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