Familial Support for Unemployed Youth
Between the late 90's and the beginning of the 21st century in Japan the unemployment rate among young people (under the age of 30) grew from 4.7% in 1993 to 9.8% in 2002. However, the high unemployment rate of young people (9.8%, compared to an average rate of 5.4% in 2002) did not turn into a major social issue in the mass media because it is considered that familial support is enough to keep the life of the young unemployed stable. This paper investigates the relationship between the unemployment of young never-married women and the financial situation of their parents, using The Japanese Panel Survey of Consumers (JPSC) from 1994 to 2004. I use the reform of the eligibility age(only for male) as the instrumental variable, to identify the parental economic strength. The result shows the decrease of the discretionary expenditure of the unemployed people and the financial strength of their parents are negatively correlated. Also, the financial strength of the parents negatively affects the re-employment rate of the respondents.
|Date of creation:||Jan 2007|
|Contact details of provider:|| Postal: 2-1 Naka, Kunitachi City, Tokyo 186|
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