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The effect of children on earnings inequality among men

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  • Kunze, Astrid

Abstract

This study investigates empirically whether fatherhood has a causal effect on earnings inequality among men. Rich register data on life cycle employment and earnings, and fertility histories on brother couples are used to estimate flexible earnings regressions with fixed factors. The main result is that higher earners are more likely to become a father, and not that children make fathers earn higher incomes. Furthermore, men who remain childless and/or unmarried, are on relatively low earnings profiles and contribute therefore significantly to the earnings inequality among men. Finally, most of the earnings variation comes from first childbirth, not from further children or from marriage.

Suggested Citation

  • Kunze, Astrid, 2016. "The effect of children on earnings inequality among men," VfS Annual Conference 2016 (Augsburg): Demographic Change 145823, Verein für Socialpolitik / German Economic Association.
    • Handle: RePEc:zbw:vfsc16:145823
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    Cited by:

    1. Andersland, Leroy & Nilsen, Øivind A., 2016. "Households’ responses to price changes of formal childcare," Discussion Paper Series in Economics 20/2016, Norwegian School of Economics, Department of Economics.

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    More about this item

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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