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Peer effects in parental leave decisions

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  • Welteke, Clara
  • Wrohlich, Katharina

Abstract

We analyze whether mothers’ parental leave decisions depend on their coworkers’ decisions. The identification of peer effects bears various challenges due to correlated characteristics within social groups. We therefore exploit quasi-random variation in the costs of parental leave induced by a policy reform in Germany. The reform encourages mothers to remain at home during the first year following childbirth. Administrative linked employer-employee data enable us to assign a peer group to individuals who work in the same establishment and occupation. Our results suggest that parental leave decisions are significantly influenced by coworkers’ decisions.

Suggested Citation

  • Welteke, Clara & Wrohlich, Katharina, 2019. "Peer effects in parental leave decisions," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 57, pages 146-163.
    • Handle: RePEc:zbw:espost:233825
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    Cited by:

    1. Huebener, Mathias & Kuehnle, Daniel & Spiess, C. Katharina, 2019. "Parental leave policies and socio-economic gaps in child development: Evidence from a substantial benefit reform using administrative data," Labour Economics, Elsevier, vol. 61(C).
    2. Jessen, Jonas, 2022. "Culture, children and couple gender inequality," European Economic Review, Elsevier, vol. 150(C).
    3. Chesney, Alexander J., 2022. "Should I get a master’s degree?," Economics of Education Review, Elsevier, vol. 91(C).
    4. Wrohlich, Katharina & Zucco, Aline, 2023. "15 Jahre Elterngeld: Auswirkungen und Reformoptionen," Working Paper Forschungsförderung 281, Hans-Böckler-Stiftung, Düsseldorf.
    5. Paule-Paludkiewicz, Hannah, 2020. "Does the Right to Work Part-Time Affect Mothers' Labor Market Outcomes?," VfS Annual Conference 2020 (Virtual Conference): Gender Economics 224556, Verein für Socialpolitik / German Economic Association.
    6. Frodermann, Corinna & Wrohlich, Katharina & Zucco, Aline, 2023. "Parental Leave Policy and Long-run Earnings of Mothers," Labour Economics, Elsevier, vol. 80(C).
    7. Magnus Carlsson & Abdulaziz Abrar Reshid, 2022. "Co‐worker peer effects on parental leave take‐up," Scandinavian Journal of Economics, Wiley Blackwell, vol. 124(4), pages 930-957, October.
    8. Janna Bergsvik & Agnes Fauske & Rannveig K. Hart, 2020. "Effects of policy on fertility. A systematic review of (quasi)experiments," Discussion Papers 922, Statistics Norway, Research Department.

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    More about this item

    Keywords

    Peer effects; Social interaction; Labor supply; Family policy;
    All these keywords.

    JEL classification:

    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • D04 - Microeconomics - - General - - - Microeconomic Policy: Formulation; Implementation; Evaluation

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