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Fertility and Economic Instability: The Role of Unemployment and Job Displacement

  • Emilia Del Bono
  • Andrea Weber
  • Rudolf Winter-Ebmer

We study the effect of job displacement on fertility in a sample of white collar women in Austria. Using instrumental variables methods we show that unemploy- ment incidence as such has no negative effect on fertility decisions, but the very fact of being displaced from a career-oriented job has; fertility rates for women affected by a plant closure are signiffcantly below those of a control group, even after six years.

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Paper provided by The Austrian Center for Labor Economics and the Analysis of the Welfare State, Johannes Kepler University Linz, Austria in its series NRN working papers with number 2011-02.

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Length: 18 pages
Date of creation: Apr 2011
Date of revision:
Handle: RePEc:jku:nrnwps:2011_02
Contact details of provider: Postal: NRN Labor Economics and the Welfare State, c/o Rudolf Winter-Ebmer, Altenbergerstr. 69, 4040 Linz
Phone: +43-732-2468-8216
Fax: +43-732-2468-8217
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  1. Del Bono, Emilia & Weber, Andrea & Winter-Ebmer, Rudolf, 2008. "Clash of Career and Family. Fertility Decisions after Job Displacement," Economics Series 222, Institute for Advanced Studies.
  2. Christian Dustmann & Costas Meghir, 2005. "Wages, Experience and Seniority," Review of Economic Studies, Oxford University Press, vol. 72(1), pages 77-108.
  3. Ahn, N. & Mira, P., 1999. "A Note on the Changing Relationship Between Fertility and Female Employment Rates in Developed Countries," Papers 9903, Centro de Estudios Monetarios Y Financieros-.
  4. Butz, William P & Ward, Michael P, 1979. "The Emergence of Countercyclical U.S. Fertility," American Economic Review, American Economic Association, vol. 69(3), pages 318-28, June.
  5. Tomáš Sobotka & Vegard Skirbekk & Dimiter Philipov, 2011. "Economic Recession and Fertility in the Developed World," Population and Development Review, The Population Council, Inc., vol. 37(2), pages 267-306, 06.
  6. Bettio, Francesca & Villa, Paola, 1998. "A Mediterranean Perspective on the Breakdown of the Relationship between Participation and Fertility," Cambridge Journal of Economics, Oxford University Press, vol. 22(2), pages 137-71, March.
  7. Chevalier, Arnaud & Harmon, Colm & O'Sullivan, Vincent & Walker, Ian, 2013. "The Impact of Parental Income and Education on the Schooling of Children," Papers WP468, Economic and Social Research Institute (ESRI).
  8. Adsera, Alicia, 2005. "Where Are the Babies? Labor Market Conditions and Fertility in Europe," IZA Discussion Papers 1576, Institute for the Study of Labor (IZA).
  9. Alicia Adsera, 2005. "Vanishing Children: From High Unemployment to Low Fertility in Developed Countries," American Economic Review, American Economic Association, vol. 95(2), pages 189-193, May.
  10. Josef Zweimüller & Rudolf Winter-Ebmer & Rafael Lalive & Andreas Kuhn & Jean-Philippe Wuellrich & Oliver Ruf & Simon Büchi, 2009. "Austrian Social Security Database," NRN working papers 2009-03, The Austrian Center for Labor Economics and the Analysis of the Welfare State, Johannes Kepler University Linz, Austria.
    • Josef Zweimüller & Rudolf Winter-Ebmer & Rafael Lalive & Andreas Kuhn & Jean-Philippe Wuellrich & Oliver Ruf & Simon Büchi, 2009. "Austrian social security database," IEW - Working Papers 410, Institute for Empirical Research in Economics - University of Zurich.
  11. Marcus Eliason & Donald Storrie, 2006. "Lasting or Latent Scars? Swedish Evidence on the Long-Term Effects of Job Displacement," Journal of Labor Economics, University of Chicago Press, vol. 24(4), pages 831-856, October.
  12. repec:rwi:repape:0039 is not listed on IDEAS
  13. Rajeev Dehejia & Adriana LLeras Muney, 2004. "Booms, Busts, and Babies' Health," The Quarterly Journal of Economics, MIT Press, vol. 119(3), pages 1091-1130, August.
  14. repec:cai:poeine:pope_202_0301 is not listed on IDEAS
  15. Øystein Kravdal, 2002. "The impact of individual and aggregate unemployment on fertility in Norway," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 6(10), pages 263-294, April.
  16. Sara Rica & Amaia Iza, 2005. "Career Planning in Spain: Do Fixed-term Contracts Delay Marriage and Parenthood?," Review of Economics of the Household, Springer, vol. 3(1), pages 49-73, November.
  17. Henriette Engelhardt & Alexia Prskawetz, 2002. "On the changing correlation between fertility and female employment over space and time," MPIDR Working Papers WP-2002-052, Max Planck Institute for Demographic Research, Rostock, Germany.
  18. Adsera, Alicia & Menendez, Alicia, 2009. "Fertility Changes in Latin America in the Context of Economic Uncertainty," IZA Discussion Papers 4019, Institute for the Study of Labor (IZA).
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