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Unexpected Victims: How Parents' Unemployment Affects Their Children's Life Satisfaction

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Author Info

  • Michael Kind

    (Ruhr Graduate School in Economics, Essen)

  • John P. Haisken-DeNew

    ()
    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

Abstract

The effects of unemployment on the subjective wellbeing (SWB) of the unemployed on the unemployed are well documented. Using data from the German SOEP for 17-25 year olds living with their parents, this paper examines the additional indirect effects of parents’ unemployment on their children’s subjective wellbeing in an attempt to capture the full impact of unemployment. The reason for entry (exogenous versus endogenous) into unemployment plays a major role. Fathers who enter unemployment exogenously affect their son’s SWB negatively, as do mothers who enter into unemployment endogenously. Parental unemployment has no impact on daughters’ SWB.

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File URL: http://www.melbourneinstitute.com/downloads/working_paper_series/wp2012n02.pdf
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Bibliographic Info

Paper provided by Melbourne Institute of Applied Economic and Social Research, The University of Melbourne in its series Melbourne Institute Working Paper Series with number wp2012n02.

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Length: 23 pages
Date of creation: Feb 2012
Date of revision:
Handle: RePEc:iae:iaewps:wp2012n02

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Postal: Melbourne Institute of Applied Economic and Social Research, The University of Melbourne, Victoria 3010 Australia
Phone: +61 3 8344 2100
Fax: +61 3 8344 2111
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Web page: http://www.melbourneinstitute.com/
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Related research

Keywords: Life satisfaction; unemployment; intergenerational transmission;

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References

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  10. SonjaC. Kassenboehmer & JohnP. Haisken-DeNew, 2009. "You're Fired! The Causal Negative Effect of Entry Unemployment on Life Satisfaction," Economic Journal, Royal Economic Society, vol. 119(536), pages 448-462, 03.
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Citations

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Cited by:
  1. Nattavudh Powdthavee & James Vernoit, 2012. "The Transferable Scars: A Longitudinal Evidence of Psychological Impact of Past Parental Unemployment on Adolescents in the United Kingdom," CEP Discussion Papers dp1165, Centre for Economic Performance, LSE.
  2. Headey, Bruce & Muffels, Ruud & Wagner, Gert G., 2012. "Parents Transmit Happiness along with Associated Values and Behaviors to Their Children: A Lifelong Happiness Dividend?," IZA Discussion Papers 6944, Institute for the Study of Labor (IZA).
  3. Powdthavee, Nattavudh & Vernoit, James, 2013. "Parental unemployment and children's happiness: A longitudinal study of young people's well-being in unemployed households," Labour Economics, Elsevier, vol. 24(C), pages 253-263.
  4. Wunder, Christoph & Heineck, Guido, 2012. "Working Time Preferences, Hours Mismatch and Well-Being of Couples: Are There Spillovers?," IZA Discussion Papers 6786, Institute for the Study of Labor (IZA).
  5. Michael Kind & John P. Haisken-DeNew, 2012. "Sons' Unexpected Long Term Scarring Due to Fathers' Unemployment," Melbourne Institute Working Paper Series wp2012n21, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
  6. John P. Haisken-DeNew & Jan Kleibrink, 2013. "Walking Wounded – The Causal Welfare Loss of Underemployment through Overeducation," Ruhr Economic Papers 0423, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.

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