IDEAS home Printed from https://ideas.repec.org/p/diw/diwwpp/dp841.html
   My bibliography  Save this paper

Gender-Specific Effects of Unemployment on Family Formation: A Cross-National Perspective

Author

Listed:
  • Christian Schmitt

Abstract

This paper investigates the impact of unemployment on the propensity to start a family. Unemployment is accompanied by bad occupational prospects and impending economic deprivation, placing the well-being of a future family at risk. I analyze unemployment at the intersection of state-dependence and the reduced opportunity costs of parenthood, distinguishing between men and women across a set of welfare states. Using micro-data from the European Community Household Panel (ECHP), I apply event history methods to analyze longitudinal samples of first-birth transitions in France, Finland, Germany, and the UK (1994-2001). The results highlight spurious negative effects of unemployment on family formation among men, which can be attributed to the lack of breadwinner capabilities in the inability to financially support a family. Women, in contrast, show positive effects of unemployment on the propensity to have a first child in all countries except France. These effects prevail even after ontrolling for labour market and income-related factors. The findings are pronounced in Germany and the UK where work-family conflicts are the cause of high opportunity costs of motherhood, and the gender-specific division of labour is still highly traditional. Particularly among women with a moderate and low level of education, unemployment clearly increases the likelihood to have a first child.

Suggested Citation

  • Christian Schmitt, 2008. "Gender-Specific Effects of Unemployment on Family Formation: A Cross-National Perspective," Discussion Papers of DIW Berlin 841, DIW Berlin, German Institute for Economic Research.
  • Handle: RePEc:diw:diwwpp:dp841
    as

    Download full text from publisher

    File URL: https://www.diw.de/documents/publikationen/73/diw_01.c.92707.de/dp841.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Katharina Wrohlich & Fabien Dell & Alexandre Baclet, 2005. "Steuerliche Familienförderung in Frankreich und Deutschland," DIW Wochenbericht, DIW Berlin, German Institute for Economic Research, vol. 72(33), pages 479-486.
    2. Eileen Trzcinski & Elke Holst, 2003. "Hohe Lebenszufriedenheit teilzeitbeschäftigter Mütter," DIW Wochenbericht, DIW Berlin, German Institute for Economic Research, vol. 70(35), pages 539-545.
    3. Virve Ollikainen, 2006. "Gender Differences in Transitions from Unemployment: Micro Evidence from Finland," LABOUR, CEIS, vol. 20(1), pages 159-198, March.
    4. Witte, James C. & Wagner, Gert G., 1995. "Declining Fertility in East Germany After Unification: A Demographic Response to Socioeconomic Change," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 21(2), pages 387-397.
    5. Pellizzari, Michele, 2006. "Unemployment duration and the interactions between unemployment insurance and social assistance," Labour Economics, Elsevier, vol. 13(6), pages 773-798, December.
    6. Angelika Tölke & Martin Diewald, 2003. "Insecurities in employment and occupational careers and their impact on the transition to fatherhood in Western Germany," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 9(3), pages 41-68.
    7. Angelika Tölke, 2003. "Insecurities in employment and occupational careers and their impact on the transition to fatherhood in Western Germany," MPIDR Working Papers WP-2003-016, Max Planck Institute for Demographic Research, Rostock, Germany.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hippolyte d'Albis & Angela Luci Greulich & Grégory Ponthière, 2015. "Avoir un enfant plus tard: Enjeux sociodémographiques du report des naissances," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-01245523, HAL.
    2. Marie-Thérèse Letablier & Anne Salles, 2013. "Labour market uncertainties for the young workforce in France and Germany: Implications for family formation and fertility," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00786291, HAL.
    3. Arpino, Bruno & LUPPI, FRANCESCA & Rosina, Alessandro, 2021. "Changes in fertility plans during the COVID-19 pandemic in Italy: the role of occupation and income vulnerability," SocArXiv 4sjvm, Center for Open Science.
    4. María-José González & Teresa Jurado-Guerrero, 2006. "Remaining childless in affluent economies: a comparison of France, West Germany, Italy and Spain, 1994–2001 Rester sans enfant dans des sociétés d'abondances: une comparaison de la France, l'Allemagne," European Journal of Population, Springer;European Association for Population Studies, vol. 22(4), pages 317-352, December.
    5. John Tomkinson, 2019. "Age at first birth and subsequent fertility: The case of adolescent mothers in France and England and Wales," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 40(27), pages 761-798.
    6. Marie-Thérèse Letablier & Anne Salles, 2013. "Labour market uncertainties for the young workforce in France and Germany: Implications for family formation and fertility," Documents de travail du Centre d'Economie de la Sorbonne 13004, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
    7. Hande Inanc, 2015. "Unemployment and the timing of parenthood," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 32(7), pages 219-250.
    8. Brian Buh, 2021. "Measuring the Effect of Employment uncertainty on Fertility in Europe (A literature review)," VID Working Papers 2103, Vienna Institute of Demography (VID) of the Austrian Academy of Sciences in Vienna.
    9. Marie-Thérèse Letablier & Anne Salles, 2013. "Labour market uncertainties for the young workforce in France and Germany: Implications for family formation and fertility," Post-Print halshs-00786291, HAL.
    10. Hippolyte D'Albis & Angela Greulich & Grégory Ponthière, 2015. "AVOIR UN ENFANT PLUS TARD Enjeux sociodémographiques du report des naissances," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-01298929, HAL.
    11. Ariane Pailhé & Anne Solaz, 2012. "The influence of employment uncertainty on childbearing in France: A tempo or quantum effect?," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 26(1), pages 1-40.
    12. Byron Kotzamanis & Anastasia Kostaki, 2015. "The Implications of the Recent Economic Crisis on Fertility in Greece," European Journal of Economics and Business Studies Articles, Revistia Research and Publishing, vol. 1, September.
    13. Petra Stein & Sebastian Willen & Monika Pavetic, 2014. "Couples' fertility decision-making," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 30(63), pages 1697-1732.
    14. repec:zbw:rwirep:0422 is not listed on IDEAS
    15. Alberto Cazzola & Lucia Pasquini & Aurora Angeli, 2016. "The relationship between unemployment and fertility in Italy," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 34(1), pages 1-38.
    16. Addabbo, Tindara & Rodríguez-Modroño, Paula & Gálvez-Muñoz, Lina, 2015. "Young people living as couples: How women's labour supply is adapting to the crisis. Spain as a case study," Economic Systems, Elsevier, vol. 39(1), pages 27-42.
    17. Michael Kind & Jan Kleibrink, 2013. "Sooner or Later – Economic Insecurity and the Timing of First Birth," Ruhr Economic Papers 0422, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
    18. repec:hal:journl:hal-01298929 is not listed on IDEAS
    19. Giammarco Alderotti & Daniele Vignoli & Michela Baccini & Anna Matysiak, 2019. "Employment Uncertainty and Fertility: A Network Meta-Analysis of European Research Findings," Econometrics Working Papers Archive 2019_06, Universita' degli Studi di Firenze, Dipartimento di Statistica, Informatica, Applicazioni "G. Parenti".
    20. Marloes Lange & Maarten Wolbers & Maurice Gesthuizen & Wout Ultee, 2014. "The Impact of Macro- and Micro-Economic Uncertainty on Family Formation in The Netherlands," European Journal of Population, Springer;European Association for Population Studies, vol. 30(2), pages 161-185, May.
    21. Marie-Thérèse Letablier & Anne Salles, 2012. "Labour market uncertainties for the young workforce in France and Germany : implications for family formation and fertily," Working Papers 180, Institut National d'Études Démographiques (INED).
    22. Aksoy, Cevat Giray, 2014. "Are Fertility Responses to Local Unemployment Shocks Homogenous Across Social Strata? Evidence from England, 1994 to 2010," MPRA Paper 58292, University Library of Munich, Germany.
    23. Jose Maria Fernandez-Crehuet & Luis Alberiko Gil-Alana & Cristina Martí Barco, 2020. "Unemployment and Fertility: A Long Run Relationship," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 152(3), pages 1177-1196, December.
    24. Kind, Michael & Kleibrink, Jan, 2013. "Sooner or Later – Economic Insecurity and the Timing of First Birth," Ruhr Economic Papers 422, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Christian Schmitt, 2008. "Labour Market Integration and the Transition to Parenthood: A Comparison of Germany and the UK," Discussion Papers of DIW Berlin 808, DIW Berlin, German Institute for Economic Research.
    2. Bernhard, Sarah & Kurz, Karin, 2007. "Familie und Arbeitsmarkt : eine Längsschnittstudie zum Einfluss beruflicher Unsicherheiten auf die Familienerweiterung," IAB-Discussion Paper 200710, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    3. Bhaumik, Sumon K. & Nugent, Jeffrey B., 2005. "Does Economic Uncertainty Affect the Decision to Bear Children? Evidence from East and West Germany," IZA Discussion Papers 1746, Institute of Labor Economics (IZA).
    4. Angelika Tölke, 2004. "Die Bedeutung von Herkunftsfamilie, Berufsbiografie und Partnerschaften für den Übergang zur Ehe und Vaterschaft," MPIDR Working Papers WP-2004-007, Max Planck Institute for Demographic Research, Rostock, Germany.
    5. Ariane Pailhé & Anne Solaz, 2012. "The influence of employment uncertainty on childbearing in France: A tempo or quantum effect?," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 26(1), pages 1-40.
    6. Martin Dribe & Maria Stanfors, 2009. "Education, Work and Parenthood: Comparing the Experience of Young Men and Women in Sweden," Journal of Family and Economic Issues, Springer, vol. 30(1), pages 32-42, March.
    7. Marcus Klemm, 2012. "Job Security and Fertility: Evidence from German Reunification," Ruhr Economic Papers 0379, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
    8. Laura Bernardi & Andreas Klärner & Holger Lippe, 2008. "Job Insecurity and the Timing of Parenthood: A Comparison between Eastern and Western Germany," European Journal of Population, Springer;European Association for Population Studies, vol. 24(3), pages 287-313, September.
    9. Nkechi S. Owoo & Monica P. Lambon-Quayefio, 2022. "Does Job Security Affect Fertility and Fertility Intentions in Ghana? Examining the Evidence," Journal of Family and Economic Issues, Springer, vol. 43(1), pages 86-99, March.
    10. Christian Dudel, 2009. "The Demographic Dilemma: Fertility, Female Labor Force Participation and Future Growth in Germany 2007-2060," SOEPpapers on Multidisciplinary Panel Data Research 158, DIW Berlin, The German Socio-Economic Panel (SOEP).
    11. Klemm, Marcus, 2012. "Job Security and Fertility: Evidence from German Reunification," Ruhr Economic Papers 379, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    12. Francesca Fiori & Francesca Rinesi & Antonella Pinnelli & Sabrina Prati, 2013. "Economic Insecurity and the Fertility Intentions of Italian Women with One Child," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 32(3), pages 373-413, June.
    13. Schmitt, Christian, 2012. "A Cross-National Perspective on Unemployment and First Births," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 28(3), pages 303-335.
    14. Ronald R. Rindfuss & Sarah R. Brauner-Otto, 2008. "Institutions and the transition to adulthood: Implications for fertility tempo in low-fertility settings," Vienna Yearbook of Population Research, Vienna Institute of Demography (VID) of the Austrian Academy of Sciences in Vienna, vol. 6(1), pages 57-87.
    15. Christian Schmitt, 2012. "A Cross-National Perspective on Unemployment and First Births [Chômage et première naissance : une perspective transnationale]," European Journal of Population, Springer;European Association for Population Studies, vol. 28(3), pages 303-335, August.
    16. repec:zbw:rwirep:0379 is not listed on IDEAS
    17. Inna Petrunyk & Christian Pfeifer, 2022. "Diverse effects of shorter potential unemployment benefit duration on labor market outcomes in Germany," LABOUR, CEIS, vol. 36(3), pages 367-388, September.
    18. Bargain, Olivier & Orsini, Kristian, 2006. "In-work policies in Europe: Killing two birds with one stone?," Labour Economics, Elsevier, vol. 13(6), pages 667-697, December.
    19. Silke van Daalen & Hal Caswell, 2015. "Lifetime reproduction and the second demographic transition: Stochasticity and individual variation," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 33(20), pages 561-588.
    20. Aysit Tansel & H. Mehmet Taşçı, 2010. "Hazard Analysis of Unemployment Duration by Gender in a Developing Country: The Case of Turkey," LABOUR, CEIS, vol. 24(4), pages 501-530, December.
    21. Eder, Christoph & Halla, Martin, 2018. "On the Origin and Composition of the German East-West Population Gap," IZA Discussion Papers 12031, Institute of Labor Economics (IZA).

    More about this item

    Keywords

    family formation; fertility; unemployment; cross-national comparison;
    All these keywords.

    JEL classification:

    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:diw:diwwpp:dp841. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Bibliothek (email available below). General contact details of provider: https://edirc.repec.org/data/diwbede.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.