IDEAS home Printed from https://ideas.repec.org/p/iza/izadps/dp16977.html

The Parental Wage Gap and the Development of Socio-Emotional Skills in Children

Author

Listed:
  • Hufe, Paul

    (University of Bristol)

Abstract

Converging labor market opportunities of men and women have altered the economic incentives for how families invest monetary and time resources into the skill development of their children. In this paper, I study the causal impact of changes in the parental wage gap (PWG) - defined as the relative difference in potential wages of mothers and fathers - on children's socio-emotional skills. I leverage administrative and survey data from Germany to create exogenous between-sibling variation in the PWG through a shift-share design. I find that decreases in the PWG do not affect children's socio-emotional development as measured by their Big Five personality traits and externalizing/internalizing behaviors. This null effect can be rationalized by the offsetting effects of the PWG on monetary investments, i.e., more disposable household income that is increasingly controlled by mothers, and time investments, i.e., a substitution from in-home maternal care to informal childcare.

Suggested Citation

  • Hufe, Paul, 2024. "The Parental Wage Gap and the Development of Socio-Emotional Skills in Children," IZA Discussion Papers 16977, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp16977
    as

    Download full text from publisher

    File URL: https://docs.iza.org/dp16977.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Chernozhukov, Victor & Hansen, Christian, 2008. "The reduced form: A simple approach to inference with weak instruments," Economics Letters, Elsevier, vol. 100(1), pages 68-71, July.
    2. Na'ama Shenhav, 2021. "Lowering Standards to Wed? Spouse Quality, Marriage, and Labor Market Responses to the Gender Wage Gap," The Review of Economics and Statistics, MIT Press, vol. 103(2), pages 265-279, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. repec:ucl:cepeow:25-16 is not listed on IDEAS

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. So Yoon Ahn & Yu Kyung Koh, 2022. "Spousal Bargaining Power and Consumption of Married Couples in the US: Evidence from Scanner Data," Working Papers 2022-010, Human Capital and Economic Opportunity Working Group.
    2. Paul Hufe, 2024. "The Parental Wage Gap and the Development of Socio-Emotional Skills in Children," CESifo Working Paper Series 11111, CESifo.
    3. So Yoon Ahn & Meiqing Ren, 2022. "Gender Wage Gap, Bargaining Power, and Charitable Giving of Households," Working Papers 2022-033, Human Capital and Economic Opportunity Working Group.
    4. Antoine, Bertille & Lavergne, Pascal, 2023. "Identification-robust nonparametric inference in a linear IV model," Journal of Econometrics, Elsevier, vol. 235(1), pages 1-24.
    5. Julia Fonseca, 2023. "Less Mainstream Credit, More Payday Borrowing? Evidence from Debt Collection Restrictions," Journal of Finance, American Finance Association, vol. 78(1), pages 63-103, February.
    6. Bensch, Gunther & Gotz, Gunnar & Peters, Jörg, 2020. "Effects of rural electrification on employment: A comment on Dinkelman (2011)," Ruhr Economic Papers 840, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    7. Ellis, Jimmy R. & Gershenson, Seth, 2016. "LATE for the Meeting: Gender, Peer Advising, and College Success," IZA Discussion Papers 9956, Institute of Labor Economics (IZA).
    8. Emma Hooper & Sanjay Peters & Patrick A. Pintus, 2021. "The impact of infrastructure investments on income inequality: Evidence from US states," Economics of Transition and Institutional Change, John Wiley & Sons, vol. 29(2), pages 227-256, April.
    9. Massimo Anelli & Gaetano Basso & Giuseppe Ippedico & Giovanni Peri, 2023. "Emigration and Entrepreneurial Drain," American Economic Journal: Applied Economics, American Economic Association, vol. 15(2), pages 218-252, April.
    10. repec:dau:papers:123456789/13646 is not listed on IDEAS
    11. Biewen, Martin & Kugler, Philipp, 2021. "Two-stage least squares random forests with an application to Angrist and Evans (1998)," Economics Letters, Elsevier, vol. 204(C).
    12. Joe Hirschberg & Jenny Lye, 2017. "Alternative Graphical Representations of the Confidence Intervals for the Structural Coefficient from Exactly Identified Two-Stage Least Squares," Department of Economics - Working Papers Series 2026, The University of Melbourne.
    13. Ellis, Jimmy R. & Gershenson, Seth, 2020. "Gender, peer advising, and college success," Labour Economics, Elsevier, vol. 62(C).
    14. Hansen, Christian & Liao, Yuan, 2019. "The Factor-Lasso And K-Step Bootstrap Approach For Inference In High-Dimensional Economic Applications," Econometric Theory, Cambridge University Press, vol. 35(3), pages 465-509, June.
    15. Bertille Antoine & Pascal Lavergne, 2020. "Identification-Robust Nonparametric Interference in a Linear IV Model," Discussion Papers dp20-03, Department of Economics, Simon Fraser University.
    16. Desbordes, Rodolphe & Koop, Gary, 2016. "Should we care about the uncertainty around measures of political-economic development?," Journal of Comparative Economics, Elsevier, vol. 44(3), pages 752-763.
    17. Paul Hufe, 2024. "The Parental Wage Gap and the Development of Socio-emotional Skills in Children," Working Papers 2024-010, Human Capital and Economic Opportunity Working Group.
    18. Lennon, Conor, 2023. "Women’s educational attainment, marriage, and fertility: Evidence from the 1944 G.I. Bill," Explorations in Economic History, Elsevier, vol. 90(C).
    19. A. Colin Cameron & Douglas L. Miller, 2010. "Robust Inference with Clustered Data," Working Papers 106, University of California, Davis, Department of Economics.
    20. Andersson, Christian & Johansson, Per & Waldenström, Nina, 2011. "Do you want your child to have a certified teacher?," Economics of Education Review, Elsevier, vol. 30(1), pages 65-78, February.
    21. Wang, Wenjie, 2021. "Wild Bootstrap for Instrumental Variables Regression with Weak Instruments and Few Clusters," MPRA Paper 106227, University Library of Munich, Germany.

    More about this item

    Keywords

    ;
    ;
    ;

    JEL classification:

    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp16977. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Holger Hinte (email available below). General contact details of provider: https://edirc.repec.org/data/izaaade.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.