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Parental unemployment and children's happiness: A longitudinal study of young people's well-being in unemployed households

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  • Powdthavee, Nattavudh
  • Vernoit, James

Abstract

Using a unique longitudinal data of British youths we estimate how adolescents' overall happiness is related to parents' exposure to unemployment. Our within-child estimates suggest that parental job loss when the child was relatively young has a positive influence on children's overall happiness. However, this positive association became either strongly negative or statistically insignificant as the child grew older. The estimated effects of parental job loss on children's happiness also appear to be unrelated to its effect on family income, parent–child interaction, and children's school experience. Together these findings offer new psychological evidence of unemployment effects on children's livelihood.

Suggested Citation

  • 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.
  • Handle: RePEc:eee:labeco:v:24:y:2013:i:c:p:253-263
    DOI: 10.1016/j.labeco.2013.09.008
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    Cited by:

    1. Viola Angelini & Marco Bertoni & Luca Corazzini, 2015. "The Causal Effect of Paternal Unemployment on Children's Personality," SOEPpapers on Multidisciplinary Panel Data Research 795, DIW Berlin, The German Socio-Economic Panel (SOEP).
    2. repec:spr:izalbr:v:6:y:2017:i:1:d:10.1186_s40172-017-0056-1 is not listed on IDEAS
    3. Powdthavee, Nattavudh, 2014. "What childhood characteristics predict psychological resilience to economic shocks in adulthood?," Journal of Economic Psychology, Elsevier, vol. 45(C), pages 84-101.
    4. Raul Caruso & Filomena Asgresta & Emiliano Sironi, 2015. "Profilo economico delle donne nel disagio post-partum. Un’indagine empirica presso l’Ospedale Niguarda di Milano," ECONOMIA PUBBLICA, FrancoAngeli Editore, vol. 2015(2), pages 159-180.
    5. Milena Nikolova & Sinem Ayhan, 2016. "Your Spouse Is Fired! How Much Do You Care?," SOEPpapers on Multidisciplinary Panel Data Research 891, DIW Berlin, The German Socio-Economic Panel (SOEP).
    6. Melisa Bubonya & Deborah A. Cobb-Clark & Mark Wooden, 2014. "A Family Affair: Job Loss and the Mental Health of Spouses and Adolescents," Melbourne Institute Working Paper Series wp2014n23, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    7. Berthelon, Matias & Kruger, Diana & Sánchez, Rafael, 2018. "Maternal Stress during Pregnancy and Early Childhood Development," IZA Discussion Papers 11452, Institute for the Study of Labor (IZA).
    8. Li, Wenchao & Yi, Junjian, 2015. "The Competitive Earning Incentive for Sons: Evidence from Migration in China," IZA Discussion Papers 9214, Institute for the Study of Labor (IZA).

    More about this item

    Keywords

    Unemployment; Parents; Children; Happiness; Longitudinal; BHPS;

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • J6 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers

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