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The Impact of Paternity Leave on Long-term Father Involvement

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  • Mari Rege
  • Ingeborg F. Solli
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    Abstract

    Using Norwegian registry data we investigate how paternity leave affects fathers’ long-term earnings. In 1993 Norway introduced a paternity quota of the paid parental leave. We estimate a difference-in-differences model which exploits differences in fathers' exposure to the paternity quota. Our analysis suggests that four weeks paternity leave during the child’s first year decreases fathers’ future earnings by 2.1 percent. Importantly, this effect persists up until our last point of observation when the child is five years old. The earnings effect is consistent with increased long-term father involvement, as fathers shift time and effort from market to home production. In an investigation of Norwegian time use data we find additional evidence for this hypothesis.

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    File URL: http://www.cesifo-group.de/portal/page/portal/DocBase_Content/WP/WP-CESifo_Working_Papers/wp-cesifo-2010/wp-cesifo-2010-07/cesifo1_wp3130.pdf
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    Bibliographic Info

    Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 3130.

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    Date of creation: 2010
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    Handle: RePEc:ces:ceswps:_3130

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    Related research

    Keywords: father involvement; household production; parental leave;

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    References

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    1. Carneiro, Pedro & Loken, Katrine Vellesen & Salvanes, Kjell G., 2011. "A Flying Start? Maternity Leave Benefits and Long Run Outcomes of Children," IZA Discussion Papers 5793, Institute for the Study of Labor (IZA).
    2. Schönberg, Uta & Ludsteck, Johannes, 2007. "Maternity Leave Legislation, Female Labor Supply, and the Family Wage Gap," IZA Discussion Papers 2699, Institute for the Study of Labor (IZA).
    3. Dustmann, Christian & Schönberg, Uta, 2008. "The Effect of Expansions in Maternity Leave Coverage on Children's Long-Term Outcomes," IZA Discussion Papers 3605, Institute for the Study of Labor (IZA).
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    Cited by:
    1. Sara Cools & Jon H. Fiva & Lars Johannessen Kirkebøen, 2011. "Causal effects of paternity leave on children and parents," Discussion Papers 657, Research Department of Statistics Norway.
    2. Rieck, Karsten Marshall Elseth, 2012. "Does Child Care Affect Parents’ Sickness Absence? Evidence From A Norwegian Paternity Leave Reform," Working Papers in Economics 14/12, University of Bergen, Department of Economics.
    3. Elisabeth Ugreninov, 2013. "Can Family Policy Reduce Mothers’ Sick Leave Absence? A Causal Analysis of the Norwegian Paternity Leave Reform," Journal of Family and Economic Issues, Springer, vol. 34(4), pages 435-446, December.
    4. Boll, Christina & Leppin, Julian Sebastian & Reich, Nora, 2011. "Einfluss der Elternzeit von Vätern auf die familiale Arbeitsteilung im internationalen Vergleich," HWWI Policy Papers 59, Hamburg Institute of International Economics (HWWI).
    5. Rieck, Karsten Marshall E. & Telle, Kjetil, 2012. "Sick Leave Before, During and After Pregnancy," Working Papers in Economics 06/12, University of Bergen, Department of Economics.
    6. Ragni Hege Kitterød & Marit Rønsen, 2013. "Does parenthood imply less specialization than before? Tales from the Norwegian time use surveys 1980-2010," Discussion Papers 757, Research Department of Statistics Norway.

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