IDEAS home Printed from https://ideas.repec.org/p/iza/izadps/dp5793.html
   My bibliography  Save this paper

A Flying Start? Maternity Leave Benefits and Long Run Outcomes of Children

Author

Listed:
  • Carneiro, Pedro

    () (University College London)

  • Loken, Katrine Vellesen

    () (Norwegian School of Economics)

  • Salvanes, Kjell G.

    () (Norwegian School of Economics)

Abstract

We study the impact on children of increasing maternity leave benefits using a reform that increased paid and unpaid maternity leave in Norway in July 1977. Mothers giving birth before this date were eligible only for 12 weeks of unpaid leave, while those giving birth after were entitled to 4 months of paid leave and 12 months of unpaid leave. This increased time with the child led to a 2.7 percentage points decline in high school dropout and a 5% increase in wages at age 30. For mothers with low education we find a 5.2 percentage points decline in high school dropout and an 8% increase in wages at age 30. The effect is especially large for children of those mothers who, prior to the reform, would take very low levels of unpaid leave.

Suggested Citation

  • Carneiro, Pedro & Loken, Katrine Vellesen & Salvanes, Kjell G., 2011. "A Flying Start? Maternity Leave Benefits and Long Run Outcomes of Children," IZA Discussion Papers 5793, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp5793
    as

    Download full text from publisher

    File URL: http://ftp.iza.org/dp5793.pdf
    Download Restriction: no

    Other versions of this item:

    References listed on IDEAS

    as
    1. James Heckman & Seong Hyeok Moon & Rodrigo Pinto & Peter Savelyev & Adam Yavitz, 2010. "Analyzing social experiments as implemented: evidence from the HighScope Perry Preschool Program," CeMMAP working papers CWP22/10, Centre for Microdata Methods and Practice, Institute for Fiscal Studies.
    2. Alan I. Barreca & Melanie Guldi & Jason M. Lindo & Glen R. Waddell, 2011. "Saving Babies? Revisiting the effect of very low birth weight classification," The Quarterly Journal of Economics, Oxford University Press, vol. 126(4), pages 2117-2123.
    3. Raj Chetty & John N. Friedman & Nathaniel Hilger & Emmanuel Saez & Diane Whitmore Schanzenbach & Danny Yagan, 2011. "How Does Your Kindergarten Classroom Affect Your Earnings? Evidence from Project Star," The Quarterly Journal of Economics, Oxford University Press, vol. 126(4), pages 1593-1660.
    4. Sandra E. Black & Paul J. Devereux & Kjell G. Salvanes, 2011. "Too Young to Leave the Nest? The Effects of School Starting Age," The Review of Economics and Statistics, MIT Press, vol. 93(2), pages 455-467, May.
    5. Imbens, Guido & Lemieux, Thomas, 2008. "Special issue editors' introduction: The regression discontinuity design--Theory and applications," Journal of Econometrics, Elsevier, vol. 142(2), pages 611-614, February.
    6. Jens Ludwig & Douglas L. Miller, 2007. "Does Head Start Improve Children's Life Chances? Evidence from a Regression Discontinuity Design," The Quarterly Journal of Economics, Oxford University Press, vol. 122(1), pages 159-208.
    7. Bernal, Raquel & Keane, Michael P., 2010. "Quasi-structural estimation of a model of childcare choices and child cognitive ability production," Journal of Econometrics, Elsevier, vol. 156(1), pages 164-189, May.
    8. Cameron,A. Colin & Trivedi,Pravin K., 2008. "Microeconometrics," Cambridge Books, Cambridge University Press, number 9787111235767.
    9. Raquel Bernal, 2008. "The Effect Of Maternal Employment And Child Care On Children'S Cognitive Development," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 49(4), pages 1173-1209, November.
    10. Liu Qian & Skans Oskar Nordstrom, 2010. "The Duration of Paid Parental Leave and Children's Scholastic Performance," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 10(1), pages 1-35, January.
    11. Baker, Michael & Milligan, Kevin, 2008. "Maternal employment, breastfeeding, and health: Evidence from maternity leave mandates," Journal of Health Economics, Elsevier, vol. 27(4), pages 871-887, July.
    12. Rasmussen, Astrid Würtz, 2010. "Increasing the length of parents' birth-related leave: The effect on children's long-term educational outcomes," Labour Economics, Elsevier, vol. 17(1), pages 91-100, January.
    13. Peitz, Martin & Waldfogel, Joel, 2010. "Introduction," Information Economics and Policy, Elsevier, vol. 22(4), pages 287-288, December.
    14. James Heckman & Seong Hyeok Moon & Rodrigo Pinto & Peter Savelyev & Adam Yavitz, 2010. "Analyzing social experiments as implemented: A reexamination of the evidence from the HighScope Perry Preschool Program," Quantitative Economics, Econometric Society, vol. 1(1), pages 1-46, July.
    15. Sakiko Tanaka, 2005. "Parental leave and child health across OECD countries," Economic Journal, Royal Economic Society, vol. 115(501), pages 7-28, February.
    16. Gans, Joshua S. & Leigh, Andrew, 2009. "Born on the first of July: An (un)natural experiment in birth timing," Journal of Public Economics, Elsevier, vol. 93(1-2), pages 246-263, February.
    17. Paul Gregg & Elizabeth Washbrook & Carol Propper & Simon Burgess, 2005. "The Effects of a Mother's Return to Work Decision on Child Development in the UK," Economic Journal, Royal Economic Society, vol. 115(501), pages 48-80, February.
    18. Rossin, Maya, 2011. "The effects of maternity leave on children's birth and infant health outcomes in the United States," Journal of Health Economics, Elsevier, vol. 30(2), pages 221-239, March.
    19. Dustmann, Christian & Schönberg, Uta, 2008. "The Effect of Expansions in Maternity Leave Coverage on Children's Long-Term Outcomes," IZA Discussion Papers 3605, Institute for the Study of Labor (IZA).
    20. Hahn, Jinyong & Todd, Petra & Van der Klaauw, Wilbert, 2001. "Identification and Estimation of Treatment Effects with a Regression-Discontinuity Design," Econometrica, Econometric Society, vol. 69(1), pages 201-209, January.
    21. Paul Gregg & Jane Waldfogel, 2005. "Introduction," Economic Journal, Royal Economic Society, vol. 115(501), pages 1-6, February.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    children's outcomes; maternity leave;

    JEL classification:

    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy

    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:dp5793. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak). General contact details of provider: http://www.iza.org .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.