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Trick or Treat?: Maternal Involuntary Job Loss and Children's Non-cognitive Skills

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  • Frauke H. Peter

Abstract

Negative effects of job loss on adults such as considerable fall in income have long been examined. If job loss has negative consequences for adults, it may spread to their children. But potential effects on children's non-cognitive skills and the related mechanisms have been less examined. This paper uses propensity score matching to analyze maternal involuntary job loss and its potential causal effect on children's non-cognitive skills. Job loss is defined as end of employment either due to plant closure or due to dismissals by employer. Using a rich and representative data set, the German Socio-Economic Panel Study (SOEP), I estimate associations of maternal job loss on child outcomes for preschool children aged five/six and for adolescents aged seventeen. The paper analyses influences on children's socio-emotional behavior and on adolescents' locus of control. The obtained results show that children whose mothers experience an involuntary job loss are more likely to have behavioral problems and are less likely to believe in self-determination.

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File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.421104.de/dp1297.pdf
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Bibliographic Info

Paper provided by DIW Berlin, German Institute for Economic Research in its series Discussion Papers of DIW Berlin with number 1297.

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Length: 40 p.
Date of creation: 2013
Date of revision:
Handle: RePEc:diw:diwwpp:dp1297

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Keywords: Child development; maternal job loss; non-cognitive skills; propensity score matching;

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References

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  2. Andreas Knabe & Steffen Rätzel & Ronnie Schöb & Steffen Rätzel & Joachim Weimann, 2009. "Dissatisfied with life, but having a good day- time-use and well-being of the unemployed," FEMM Working Papers 09011, Otto-von-Guericke University Magdeburg, Faculty of Economics and Management.
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  8. Marcus Eliason, 2011. "Income after job loss: the role of the family and the welfare state," Applied Economics, Taylor & Francis Journals, vol. 43(5), pages 603-618.
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  22. Eliason, Marcus & Storrie, Donald, 2009. "Job loss is bad for your health - Swedish evidence on cause-specific hospitalization following involuntary job loss," Social Science & Medicine, Elsevier, vol. 68(8), pages 1396-1406, April.
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Cited by:
  1. Daniel D. Schnitzlein & Jens Stephani, 2013. "Locus of Control and Low-Wage Mobility," SOEPpapers on Multidisciplinary Panel Data Research 589, DIW Berlin, The German Socio-Economic Panel (SOEP).

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