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Parental Job Loss and Infant Health

  • Lindo, Jason M.

    ()

    (Texas A&M University)

Although there exists a large literature documenting various consequences of job loss, this paper is the first to explore the extent to which the health effects of job displacement extend to the children of displaced workers and also the first to consider whether there are any harmful effects for children who are not yet born when the separation occurs. I use detailed work and fertility histories from the Panel Study of Income Dynamics to estimate the effect of parents' job displacements on children's birth weights. These data allow for an identification strategy that essentially compares the outcomes of children born after a displacement to the outcomes of their siblings born before using mother fixed effects. I find that husbands’ job losses have significant negative effects on infant health. They reduce birth weights by approximately four and a half percent with suggestive evidence that the effect is concentrated on the lower half of the birth weight distribution.

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File URL: http://ftp.iza.org/dp5213.pdf
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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5213.

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Length: 32 pages
Date of creation: Sep 2010
Date of revision:
Publication status: published in: Journal of Health Economics, 30(5), 2011
Handle: RePEc:iza:izadps:dp5213
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  1. Stevens, Ann Huff & Schaller, Jessamyn, 2011. "Short-run effects of parental job loss on children's academic achievement," Economics of Education Review, Elsevier, vol. 30(2), pages 289-299, April.
  2. Marcus Eliason & Donald Storrie, 2009. "Does Job Loss Shorten Life?," Journal of Human Resources, University of Wisconsin Press, vol. 44(2).
  3. Philip Oreopoulos & Marianne Page & Ann Huff Stevens, 2008. "The Intergenerational Effects of Worker Displacement," Journal of Labor Economics, University of Chicago Press, vol. 26(3), pages 455-483, 07.
  4. Melvin Stephens, 2002. "Worker Displacement and the Added Worker Effect," Journal of Labor Economics, University of Chicago Press, vol. 20(3), pages 504-537, July.
  5. Phil Oreopoulos & Mark Stabile & Randy Walld & Leslie Roos, 2006. "Short, Medium, and Long Term Consequences of Poor Infant Health: An Analysis using Siblings and Twins," NBER Working Papers 11998, National Bureau of Economic Research, Inc.
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  7. Currie, J. & Cole, N., 1992. "Welfare and Child Health: the Link Between AFDC Participation and Birth Weight," Working papers 92-9, Massachusetts Institute of Technology (MIT), Department of Economics.
  8. Lindahl, Mikael, 2002. "Estimating the Effect of Income on Health and Mortality Using Lottery Prizes as Exogenous of Variation in Income," IZA Discussion Papers 442, Institute for the Study of Labor (IZA).
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  10. Kerwin Kofi Charles & Melvin Stephens, 2004. "Job Displacement, Disability, and Divorce," Journal of Labor Economics, University of Chicago Press, vol. 22(2), pages 489-522, April.
  11. Rajeev Dehejia & Adriana Lleras-Muney, 2004. "Booms, Busts, and Babies’ Health," Working Papers 250, Princeton University, Woodrow Wilson School of Public and International Affairs, Center for Health and Wellbeing..
  12. Mari Rege, Kjetil Telle & Mark Votruba, 2005. "The Effect of Plant Downsizing on Disability Pension Utilization," Discussion Papers 435, Statistics Norway, Research Department.
  13. Daniel Sullivan & Till von Wachter, 2009. "Job Displacement and Mortality: An Analysis Using Administrative Data," The Quarterly Journal of Economics, MIT Press, vol. 124(3), pages 1265-1306, August.
  14. Black, Sandra E. & Devereux, Paul J. & Salvanes, Kjell G., 2005. "From the Cradle to the Labor Market? The Effect of Birth Weight on Adult Outcomes," IZA Discussion Papers 1864, Institute for the Study of Labor (IZA).
  15. Christopher J. Ruhm, 2000. "Are Recessions Good For Your Health?," The Quarterly Journal of Economics, MIT Press, vol. 115(2), pages 617-650, May.
  16. Louis S. Jacobson & Robert J. LaLonde & Daniel Sullivan, 1992. "Earnings Losses of Displaced Workers," Upjohn Working Papers and Journal Articles 92-11, W.E. Upjohn Institute for Employment Research.
  17. 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.
  18. Douglas Almond & Hilary W. Hoynes & Diane Whitmore Schanzenbach, 2011. "Inside the War on Poverty: The Impact of Food Stamps on Birth Outcomes," The Review of Economics and Statistics, MIT Press, vol. 93(2), pages 387-403, May.
  19. Marianne P. Bitler & Janet Currie, 2005. "Does WIC work? The effects of WIC on pregnancy and birth outcomes," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 24(1), pages 73-91.
  20. Stevens, Ann Huff, 1997. "Persistent Effects of Job Displacement: The Importance of Multiple Job Losses," Journal of Labor Economics, University of Chicago Press, vol. 15(1), pages 165-88, January.
  21. Topel, Robert, 1990. "Specific capital and unemployment: Measuring the costs and consequences of job loss," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 33(1), pages 181-214, January.
  22. Salm, M., 2009. "Does job loss cause ill health?," Other publications TiSEM 314436db-9957-4912-ba47-9, Tilburg University, School of Economics and Management.
  23. Anna Aizer & Laura Stroud & Stephen Buka, 2012. "Maternal Stress and Child Outcomes: Evidence from Siblings," NBER Working Papers 18422, National Bureau of Economic Research, Inc.
  24. Martin Salm, 2009. "Does job loss cause ill health?," Health Economics, John Wiley & Sons, Ltd., vol. 18(9), pages 1075-1089.
  25. Hoynes, Hilary & Page, Marianne & Stevens, Ann Huff, 2011. "Can targeted transfers improve birth outcomes?: Evidence from the introduction of the WIC program," Journal of Public Economics, Elsevier, vol. 95(7-8), pages 813-827, August.
  26. Marianne Page & Ann Huff Stevens & Jason Lindo, 2007. "Parental Income Shocks and Outcomes of Disadvantaged Youth in the United States," NBER Chapters, in: The Problems of Disadvantaged Youth: An Economic Perspective, pages 213-235 National Bureau of Economic Research, Inc.
  27. Adriana Camacho, 2008. "Stress and Birth Weight: Evidence from Terrorist Attacks," American Economic Review, American Economic Association, vol. 98(2), pages 511-15, May.
  28. Jere R. Behrman & Mark R. Rosenzweig, 2004. "Returns to Birthweight," The Review of Economics and Statistics, MIT Press, vol. 86(2), pages 586-601, May.
  29. Louis S. Jacobson & Robert J. LaLonde & Daniel G. Sullivan, 1993. "Long-term earnings losses of high-seniority displaced workers," Economic Perspectives, Federal Reserve Bank of Chicago, issue Nov, pages 2-20.
  30. Jason M. Lindo, 2010. "Are Children Really Inferior Goods? Evidence from Displacement-Driven Income Shocks," Journal of Human Resources, University of Wisconsin Press, vol. 45(2).
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