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Racial Difference in Child Penalty

Author

Listed:
  • Li, Jiaqi

    (Department of Economics, The University of Warwick)

Abstract

This paper documents large racial differences in the child penalty. Black women experience a significantly smaller reduction in labour supply and earnings following childbirth than white women. Furthermore, the racial difference in child penalties is driven by high-wage women, whereas black and white women with low wages have similar child penalties. In addition, household non-labour income can explain some long-run racial differences. Finally, the paper rules out economic, demographic variables, or work-related gender attitudes as the main mechanisms to drive such substantial racial differences in child penalties, leaving preference and discrimination as the main explanations.

Suggested Citation

  • Li, Jiaqi, 2021. "Racial Difference in Child Penalty," The Warwick Economics Research Paper Series (TWERPS) 1382, University of Warwick, Department of Economics.
    • Handle: RePEc:wrk:warwec:1382
    as

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    File URL: https://warwick.ac.uk/fac/soc/economics/research/workingpapers/2021/twerp_1382_-_li.pdf
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    References listed on IDEAS

    as
    1. Henrik Kleven & Camille Landais & Johanna Posch & Andreas Steinhauer & Josef Zweimüller, 2019. "Child Penalties across Countries: Evidence and Explanations," AEA Papers and Proceedings, American Economic Association, vol. 109, pages 122-126, May.
    2. Henrik Kleven & Camille Landais & Jakob Egholt Søgaard, 2021. "Does Biology Drive Child Penalties? Evidence from Biological and Adoptive Families," American Economic Review: Insights, American Economic Association, vol. 3(2), pages 183-198, June.
    3. Erica Field & Rohini Pande & Natalia Rigol & Simone Schaner & Charity Troyer Moore, 2021. "On Her Own Account: How Strengthening Women's Financial Control Impacts Labor Supply and Gender Norms," American Economic Review, American Economic Association, vol. 111(7), pages 2342-2375, July.
    4. Leah Platt Boustan & William J. Collins, 2014. "The Origin and Persistence of Black-White Differences in Women's Labor Force Participation," NBER Chapters, in: Human Capital in History: The American Record, pages 205-240, National Bureau of Economic Research, Inc.
    5. Henrik Kleven & Camille Landais & Jakob Egholt Søgaard, 2019. "Children and Gender Inequality: Evidence from Denmark," American Economic Journal: Applied Economics, American Economic Association, vol. 11(4), pages 181-209, October.
    6. Marianne Bertrand & Patricia Cortes & Claudia Olivetti & Jessica Pan, 2021. "Social Norms, Labour Market Opportunities, and the Marriage Gap Between Skilled and Unskilled Women [Economics and Identity]," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 88(4), pages 1936-1978.
    7. Goldin, Claudia D, 1991. "The Role of World War II in the Rise of Women's Employment," American Economic Review, American Economic Association, vol. 81(4), pages 741-756, September.
    8. Goldin, Claudia, 1977. "Female Labor Force Participation: The Origin of Black and White Differences, 1870 and 1880," The Journal of Economic History, Cambridge University Press, vol. 37(1), pages 87-108, March.
    9. Goldin, Claudia D., 1991. "The Role of World War II in the Rise of Women's Employment," Scholarly Articles 30703972, Harvard University Department of Economics.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Race ; Child Penalty ; Labor Supply ; Gender Norms ; Non-labour Income JEL Classification: J13 ; J15 ; J16 ; J22;
    All these keywords.

    JEL classification:

    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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