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Is Leaving Home a Hardship?

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  • Ribar, David C.

    ()
    (University of North Carolina, Greensboro)

Abstract

Nest-leaving – the transition of young adults from their parents' homes to other living arrangements – is a major life-course milestone. Although the causes of nest-leaving have been extensively researched, only a few studies have examined the changes in young adults' own assessments of their well-being that immediately precede and follow these transitions. This study uses the Household, Income and Labour Dynamics in Australia (HILDA) survey to document the trajectories of financial hardships, food consumption, and other well-being outcomes among Australians who left their parents' homes between the ages of 18 and 25 years. The study estimates multivariate fixed-effects models that compare outcomes before and after nest-leaving transitions to mitigate the effects of confounding characteristics. Men and women report increased financial hardships in the years that they leave home and in the first few years that follow. In particular, men and women both report more frequently going without meals and needing to ask friends and family for financial help. Women additionally report more frequently missing utility and housing payments.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 7290.

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Length: 44 pages
Date of creation: Mar 2013
Date of revision:
Handle: RePEc:iza:izadps:dp7290

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Related research

Keywords: youths; nest-leaving; financial hardships; nutrition;

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  1. Francesco C. Billari & Guido Tabellini, 2010. "Italians Are Late: Does It Matter?," NBER Chapters, in: Demography and the Economy, pages 371-412 National Bureau of Economic Research, Inc.
  2. John P. Haisken-DeNew & Markus H. Hahn, 2010. "PanelWhiz - Efficient Data Extraction of Complex Panel Data Sets: An Example Using the German SOEP," Data Documentation 53, DIW Berlin, German Institute for Economic Research.
  3. McElroy, Marjorie B, 1985. "The Joint Determination of Household Membership and Market Work: The Case of Young Men," Journal of Labor Economics, University of Chicago Press, vol. 3(3), pages 293-316, July.
  4. Ermisch, John, 1997. "Prices, parents and young people's household formation," ISER Working Paper Series 97-18, Institute for Social and Economic Research.
  5. Aslan Zorlu & Clara Mulder, 2011. "Ethnic Differences in Leaving Home: Timing and Pathways," Demography, Springer, vol. 48(1), pages 49-72, February.
  6. Deborah A. Cobb-Clark, 2008. "Leaving Home: What Economics Has to Say about the Living Arrangements of Young Australians," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 41(2), pages 160-176, 06.
  7. Bhattacharya, Jayanta & Currie, Janet & Haider, Steven, 2004. "Poverty, food insecurity, and nutritional outcomes in children and adults," Journal of Health Economics, Elsevier, vol. 23(4), pages 839-862, July.
  8. Marco Manacorda & Enrico Moretti, 2006. "Why do Most Italian Youths Live with Their Parents? Intergenerational Transfers and Household Structure," Journal of the European Economic Association, MIT Press, vol. 4(4), pages 800-829, 06.
  9. Mark R. Rosenzweig & Kenneth I. Wolpin, 1994. "Inequality among Young Adult Siblings, Public Assistance Programs, and Intergenerational Living Arrangements," Journal of Human Resources, University of Wisconsin Press, vol. 29(4), pages 1101-1125.
  10. Gary S. Becker, 1981. "A Treatise on the Family," NBER Books, National Bureau of Economic Research, Inc, number beck81-1, May.
  11. Giannelli, Gianna Claudia & Monfardini, Chiara, 2000. "Joint Decisions on Household Membership and Human Capital Accumulation of Youths - The role of expected earnings and local markets," IZA Discussion Papers 191, Institute for the Study of Labor (IZA).
  12. Roger Avery & Frances Goldscheider & Alden Speare, 1992. "Feathered nest/gilded cage: Parental income and leaving home in the transition to adulthood," Demography, Springer, vol. 29(3), pages 375-388, August.
  13. Lavinia Parisi, 2008. "Leaving Home and the Chances of Being Poor: The Case of Young People in Southern European Countries," LABOUR, CEIS, vol. 22(s1), pages 89-114, 06.
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