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Job losses and child outcomes

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Abstract

Based on matched employer-employee data from Norway, we analyze the effects of worker displacement in 1986-1987 on their children’s earnings in 1999-2001. Using displacement of fathers to indicate an exogenous earnings shock we seek to identify whether family resources have a direct effect on children’s economic outcome. As in previous Scandinavian studies, we find the intergenerational earnings mobility to be fairly high compared to the U.S. and the U.K. Job losses appear to have a negative effect on earnings and employment of those affected, while we find no significant effects on offspring.

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  • Bratberg, Espen & Nilsen, Øivind Anti & Vaage, Kjell, 2007. "Job losses and child outcomes," Working Papers in Economics 07/07, University of Bergen, Department of Economics.
    • Handle: RePEc:hhs:bergec:2007_007
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    File URL: http://ekstern.filer.uib.no/svf/2007/No.%2007-07.pdf
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    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion

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