The Impact Of Childhood Health Shocks On Parental Labor Supply
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The Career Costs of Children's Health Shocks
| Author | : Anne-Lise Breivik |
| Publisher | : |
| Total Pages | : |
| Release | : 2022 |
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We provide novel evidence on the impact of a child's health shock on parental labor market outcomes. To identify the causal effect, we leverage long panels of high-quality Finnish and Norwegian administrative data and exploit variation in the timing of the health shock. We do this by comparing parents across families in similar parental and child age cohorts whose children experienced a health shock at different ages. We show that these families have very similar characteristics and were following parallel trends before the event. This allows us to use a simple difference-in-differences model: we construct counterfactuals for treated households with families who experience the same shock a few years later. We find a sharp break in parents' earnings trajectories that becomes visible just after the shock. The negative effect is persistent and stronger for mothers than for fathers. We also document a substantial impact on parents' mental well-being. Our results suggest that the effect on maternal labor earnings results from the combination of the increased time needed to care for the child and the worsening of mothers' mental health.
Childhood Health Shocks and the Intergenerational Transmission of Inequality
| Author | : Tine M. Eriksen |
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| Total Pages | : 0 |
| Release | : 2023 |
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We examine the role of health shocks in childhood and parental background in transmitting intergenerational inequality. We use Danish administrative registry data (a setting with universal access to health care) and the quasi-random onset of Type 1 Diabetes in childhood to document substantial penalties in adult employment and labor market income at age 30. We document wide disparities in treatment effects and show that high-socioeconomic parents mitigate the adverse impacts of the health shock. This gradient is partly driven by differential impacts on health and human capital across the socioeconomic distribution. Maternal educational attainment matters for adoption of new and more advanced treatment regimens.
Parental Health, Aging, and the Labor Supply of Young Workers
| Author | : Sara Casella |
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| Total Pages | : 0 |
| Release | : 2022 |
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To what extent are young workers affected by health shocks that happen to their parents? This paper studies the short and long-term spillover effects of parents' adverse health events on their adult children. We use the unique structure of the Panel Survey on Income Dynamics (PSID) to build family networks and construct a measure of sudden health changes. Exploiting news on parents' health status, we provide evidence of the existence of family insurance in the form of time and monetary transfers, and of the importance of family ties in shaping labor market outcomes. Following the deterioration of parents' health, time spent helping them goes up, while income and hours worked by children significantly decline.
Child Health, Parental Well-being, and the Social Safety Net
| Author | : Achyuta Adhvaryu |
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| Total Pages | : 0 |
| Release | : 2023 |
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How do parents contend with threats to the health and survival of their children? Can the social safety net mitigate negative economic effects through transfers to affected families? We study these questions by combining the universe of cancer diagnoses among Danish children with register data for affected and matched unaffected families. Parental income declines substantially for 3-4 years following a child's cancer diagnosis. Fathers' incomes recover fully, but mothers' incomes remain 3% lower 12 years after diagnosis. Using a policy reform that introduced variation in the generosity of targeted safety net transfers to affected families, we show that such transfers play a crucial role in smoothing income for these households and, importantly, do not generate work disincentive effects. The pattern of results is most consistent with the idea that parents' preferences to personally provide care for their children during the critical years following a severe health shock drive changes in labor supply and income. Mental health and fertility effects are also observed but are likely not mediators for impacts on economic outcomes.
The Effects of Aggregate and Gender-Specific Labor Demand Shocks on Child Health
| Author | : Marianne Page |
| Publisher | : |
| Total Pages | : 11 |
| Release | : 2016 |
| Genre | : Children |
| ISBN | : |
In this paper, we estimate the relationship between cyclical changes in aggregate labor market opportunities and child health outcomes. In addition to using state unemployment rates to proxy for labor market conditions, as is common in the existing literature, we construct predicted employment growth indices that allow us to separately identify demand-induced changes in labor market opportunities for fathers and mothers. In contrast with prominent studies of adult health, we find no evidence that negative shocks to general economic conditions are associated with improvements in contemporaneous measures of children health. We do find, however, that focusing on gender-inclusive economic variables obscures the extent to which the labor market affects children. Specifically, we find evidence that improvements in labor market conditions facing women are associated with worse child health, while improvements in men labor market conditions have smaller positive effects on child health. These patterns, which are consistent with previous findings on the effects of individual parental employment and job displacement, suggest that family income and maternal time use are both important mechanisms mediating the effects of aggregate labor market conditions on child health.
Mothers' and Fathers' Labor Supply in Fragile Families
| Author | : Hope Corman |
| Publisher | : |
| Total Pages | : 46 |
| Release | : 2003 |
| Genre | : Child health services |
| ISBN | : |
We estimate the effect of poor child health on the labor supply of mothers and fathers post welfare reform, using a national sample of mostly unwed parents and their children-a group at high risk of living in poverty. We account for the potential endogeneity of child health and find that having a young child in poor health reduces the mother's probability of working, the mother's hours of work, and the father's hours of work. These results suggest that children's health problems may diminish their parents' capacity to invest in their health
Mothers' Care
| Author | : Cristina Bellés-Obrero |
| Publisher | : |
| Total Pages | : 15 |
| Release | : 2019 |
| Genre | : Child labor |
| ISBN | : |
We explore the effects of a child labor regulation that changed the legal working age from 14 to 16 over the health of their offspring. We show that the reform was detrimental for the health of the son's of affected parents at delivery. Yet, in the medium run, the effects of the reform are insignificant for both male and female children. The sons of treated mothers are perceived as still having worse health at older ages, even if their objective health status has recovered. These boys are also more likely to have private health insurance, which suggests more concerned mothers.
