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The Family Gap in Wages: What Wombmates Reveal

  • Simonsen, Marianne

    ()

    (Aarhus University)

  • Skipper, Lars

    ()

    (KORA - Danish Institute for Local and Regional Government Research)

We shed new light on the effects of having children on hourly wages by exploiting access to data on the entire population of employed same-sex twins in Denmark. Our second contribution is the use of administrative data on absenteeism; the amount of hours off due to holidays and sickness. Our results suggest that childbearing reduces female hourly wages but the principal explanation is in fact mothers' higher levels of absence. We find a positive wage premium for fathers.

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File URL: http://ftp.iza.org/dp4650.pdf
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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4650.

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Length: 32 pages
Date of creation: Dec 2009
Date of revision:
Publication status: published in: Labour Economics, 2012, 19 (1), 102-112
Handle: RePEc:iza:izadps:dp4650
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  1. Currie, J. & Thomas, D., 1995. "Does Head Start make a Difference?," Papers 95-10, RAND - Reprint Series.
  2. Ekberg, John & Eriksson, Rickard & Friebel, Guido, 2005. "Parental Leave – A Policy Evaluation of the Swedish "Daddy-Month" Reform," IZA Discussion Papers 1617, Institute for the Study of Labor (IZA).
  3. Helena Skyt Nielsen & Marianne Simonsen & Mette Verner, 2004. "Does the Gap in Family-friendly Policies Drive the Family Gap?," Scandinavian Journal of Economics, Wiley Blackwell, vol. 106(4), pages 721-744, December.
  4. David Neumark & Sanders Korenman, 1994. "Sources of Bias in Women's Wage Equations: Results Using Sibling Data," Journal of Human Resources, University of Wisconsin Press, vol. 29(2), pages 379-405.
  5. Douglas Almond & Kenneth Y. Chay & David S. Lee, 2004. "The Costs of Low Birth Weight," NBER Working Papers 10552, National Bureau of Economic Research, Inc.
  6. Sandra E. Black & Paul Devereux & Kjell G. Salvanes, 2007. "From the Cradle to the Labor Market? The Effect of Birth Weight on Adult Outcomes," Working Papers 200718, Geary Institute, University College Dublin.
  7. William Axinn & Arland Thornton, 1996. "The influence of parents’ marital dissolutions on children’s attitudes toward family formation," Demography, Springer, vol. 33(1), pages 66-81, February.
  8. Helena Holmlund, 2005. "Estimating Long-Term Consequences of Teenage Childbearing: An Examination of the Siblings Approach," Journal of Human Resources, University of Wisconsin Press, vol. 40(3).
  9. Marianne Simonsen, 2010. "Price of High-quality Daycare and Female Employment," Scandinavian Journal of Economics, Wiley Blackwell, vol. 112(3), pages 570-594, 09.
  10. Ribar, David C, 1994. "Teenage Fertility and High School Completion," The Review of Economics and Statistics, MIT Press, vol. 76(3), pages 413-24, August.
  11. Lars Skipper & Marianne Simonsen, 2006. "The costs of motherhood: an analysis using matching estimators," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 21(7), pages 919-934.
  12. Bound, John & Solon, Gary, 1999. "Double trouble: on the value of twins-based estimation of the return to schooling," Economics of Education Review, Elsevier, vol. 18(2), pages 169-182, April.
  13. Rachel Gordon & Robert Kaestner & Sanders Korenman, 2007. "The effects of maternal employment on child injuries and infectious disease," Demography, Springer, vol. 44(2), pages 307-333, May.
  14. Cunha, Flavio & Heckman, James J. & Lochner, Lance John & Masterov, Dimitriy V., 2005. "Interpreting the Evidence on Life Cycle Skill Formation," IZA Discussion Papers 1675, Institute for the Study of Labor (IZA).
  15. Waldfogel, Jane, 1998. "The Family Gap for Young Women in the United States and Britain: Can Maternity Leave Make a Difference?," Journal of Labor Economics, University of Chicago Press, vol. 16(3), pages 505-45, July.
  16. Daniel L. Millimet, 1999. "The Impact of Children on Wages, Job Tenure, and the Division of Household Labor," Working Papers 99-13, Brown University, Department of Economics.
  17. Cunha, Flavio & Heckman, James, 2008. "A New Framework For The Analysis Of Inequality," Macroeconomic Dynamics, Cambridge University Press, vol. 12(S2), pages 315-354, September.
  18. Neil Bennett & David Bloom & Cynthia Miller, 1995. "The influence of nonmarital childbearing on the formation of first marriages," Demography, Springer, vol. 32(1), pages 47-62, February.
  19. Heather Royer, 2009. "Separated at Girth: US Twin Estimates of the Effects of Birth Weight," American Economic Journal: Applied Economics, American Economic Association, vol. 1(1), pages 49-85, January.
  20. Jane Waldfogel, 1998. "Understanding the "Family Gap" in Pay for Women with Children," Journal of Economic Perspectives, American Economic Association, vol. 12(1), pages 137-156, Winter.
  21. Bonke, Jens & Datta Gupta, Nabanita & Smith, Nina, 2003. "Timing and Flexibility of Housework and Men and Women's Wages," IZA Discussion Papers 860, Institute for the Study of Labor (IZA).
  22. Deborah J. Anderson & Melissa Binder & Kate Krause, 2002. "The Motherhood Wage Penalty: Which Mothers Pay It and Why?," American Economic Review, American Economic Association, vol. 92(2), pages 354-358, May.
  23. Browning, Martin, 1992. "Children and Household Economic Behavior," Journal of Economic Literature, American Economic Association, vol. 30(3), pages 1434-75, September.
  24. Marianne Simonsen & Lars Skipper, 2008. "The Incidence and Intensity of Formal Lifelong Learning," Economics Working Papers 2008-07, School of Economics and Management, University of Aarhus.
  25. Geronimus, Arline T & Korenman, Sanders, 1992. "The Socioeconomic Consequences of Teen Childbearing Reconsidered," The Quarterly Journal of Economics, MIT Press, vol. 107(4), pages 1187-214, November.
  26. Kate Antonovics & Robert Town, 2004. "Are All the Good Men Married? Uncovering the Sources of the Marital Wage Premium," American Economic Review, American Economic Association, vol. 94(2), pages 317-321, May.
  27. Griliches, Zvi, 1979. "Sibling Models and Data in Economics: Beginnings of a Survey," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages S37-64, October.
  28. Raquel Fernández & Alessandra Fogli & Claudia Olivetti, 2004. "Mothers and Sons: Preference Formation and Female Labor Force Dynamics," The Quarterly Journal of Economics, MIT Press, vol. 119(4), pages 1249-1299, November.
  29. Pencavel, John, 1987. "Labor supply of men: A survey," Handbook of Labor Economics, in: O. Ashenfelter & R. Layard (ed.), Handbook of Labor Economics, edition 1, volume 1, chapter 1, pages 3-102 Elsevier.
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