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The Long and Short of It: Maternity Leave Coverage and Women’s Labor Market Outcomes

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Author Info
Hashimoto, Masanori () (Ohio State University and IZA Bonn)
Percy, Rick (Capital University)
Schoellner, Teresa (Ohio State University)
Weinberg, Bruce A. (Ohio State University and IZA Bonn)

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Abstract

We investigate the effects of maternity leave coverage on women’s post-birth wages, job tenure, and labor market attachment. We pay particular attention to unobservable characteristics that are correlated with maternity leave coverage and that affect labor market outcomes. We use a control sample, as well as a range of control variables, to address unobserved heterogeneity. We find evidence of substantial selection based on unobserved heterogeneity. Maternity leave effects on the three outcomes are found to be small and shortlived. This finding is understandable given that most policies in the United States allow leaves for only 12 weeks at most.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 1207.

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Length: 33 pages
Date of creation: Jul 2004
Date of revision:
Handle: RePEc:iza:izadps:dp1207

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Related research
Keywords: female labor market; wages; human capital; public policy; maternity leave;

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Find related papers by JEL classification:
J0 - Labor and Demographic Economics - - General
J1 - Labor and Demographic Economics - - Demographic Economics
J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy
J39 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Other

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Lazear, Edward P, 1990. "Job Security Provisions and Employment," The Quarterly Journal of Economics, MIT Press, vol. 105(3), pages 699-726, August. [Downloadable!] (restricted)
  2. Francine D. Blau & Lawrence M. Kahn, 2000. "Gender Differences in Pay," Journal of Economic Perspectives, American Economic Association, vol. 14(4), pages 75-99, Fall. [Downloadable!] (restricted)
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  3. Yoshio Higuchi & Jane Waldfogel & Masahiro Abe, 1999. "Family leave policies and women's retention after childbirth: Evidence from the United States, Britain, and Japan," Journal of Population Economics, Springer, vol. 12(4), pages 523-545. [Downloadable!] (restricted)
  4. Hashimoto, Masanori, 1981. "Firm-Specific Human Capital as a Shared Investment," American Economic Review, American Economic Association, vol. 71(3), pages 475-82, June. [Downloadable!] (restricted)
  5. Barrow, Lisa, 1999. "An Analysis of Women's Return-to-Work Decisions following First Birth," Economic Inquiry, Oxford University Press, vol. 37(3), pages 432-51, July.
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  6. Christopher J. Ruhm & Jackqueline L. Teague, 1995. "Parental Leave Policies in Europe and North America," NBER Working Papers 5065, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Görlich Dennis & Grip Andries de, 2007. "Human Capital Depreciation during Family-related Career Interruptions in Male and Female Occupations," Research Memoranda 007, Maastricht : ROA, Research Centre for Education and the Labour Market. [Downloadable!]
    Other versions:
  2. C. Katharina Spiess & Katharina Wrohlich, 2006. "The Parental Leave Benefit Reform in Germany: Costs and Labour Market Outcomes of Moving towards the Scandinavian Model," IZA Discussion Papers 2372, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  3. Uta Schönberg & Johannes Ludsteck, 2007. "Maternity Leave Legislation, Female Labor Supply, and the Family Wage Gap," IZA Discussion Papers 2699, Institute for the Study of Labor (IZA). [Downloadable!]
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