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Does the Gap in Family-friendly Policies Drive the Family Gap?

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  • Helena Skyt Nielsen
  • Marianne Simonsen
  • Mette Verner

Abstract

Segregation of the labour market into a family-friendly and a non-family-friendly sector implies that women self-select into sectors depending on institutional constraints, preferences for family-friendly working conditions and expected wage differences. We take this sector dimension into account and find a severe penalty after birth-related leave in the non-family-friendly sector, so that women who would be affected by this penalty self-select into the family-friendly sector. The penalty is a combination of a large human-capital depreciation effect, a child penalty and no recovery. Copyright The editors of the "Scandinavian Journal of Economics", 2004 .

Suggested Citation

  • Helena Skyt Nielsen & Marianne Simonsen & Mette Verner, 2004. "Does the Gap in Family-friendly Policies Drive the Family Gap?," Scandinavian Journal of Economics, Wiley Blackwell, vol. 106(4), pages 721-744, December.
  • Handle: RePEc:bla:scandj:v:106:y:2004:i:4:p:721-744
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    References listed on IDEAS

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    1. Shelley Phipps & Peter Burton & Lynn Lethbridge, 2001. "In and out of the labour market: long-term income consequences of child-related interruptions to women's paid work," Canadian Journal of Economics, Canadian Economics Association, vol. 34(2), pages 411-429, May.
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    JEL classification:

    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods
    • J45 - Labor and Demographic Economics - - Particular Labor Markets - - - Public Sector Labor Markets

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