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Unexpected Victims: How Parents' Unemployment Affects Their Children's Life Satisfaction

  • Michael Kind

    (Ruhr Graduate School in Economics, Essen)

  • John P. Haisken-DeNew

    ()

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

The effects of unemployment on the subjective wellbeing (SWB) of the unemployed on the unemployed are well documented. Using data from the German SOEP for 17-25 year olds living with their parents, this paper examines the additional indirect effects of parents’ unemployment on their children’s subjective wellbeing in an attempt to capture the full impact of unemployment. The reason for entry (exogenous versus endogenous) into unemployment plays a major role. Fathers who enter unemployment exogenously affect their son’s SWB negatively, as do mothers who enter into unemployment endogenously. Parental unemployment has no impact on daughters’ SWB.

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Paper provided by Melbourne Institute of Applied Economic and Social Research, The University of Melbourne in its series Melbourne Institute Working Paper Series with number wp2012n02.

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Length: 23 pages
Date of creation: Feb 2012
Date of revision:
Handle: RePEc:iae:iaewps:wp2012n02
Contact details of provider: Postal: Melbourne Institute of Applied Economic and Social Research, The University of Melbourne, Victoria 3010 Australia
Phone: +61 3 8344 2100
Fax: +61 3 8344 2111
Web page: http://www.melbourneinstitute.com/
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