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How Does Parental Leave Affect Fertility and Return to Work? Evidence from Two Natural Experiments

Lalive, Rafael ; Zweimüller, Josef

The Quarterly journal of economics, 2009-08, Vol.124 (3), p.1363-1402 [Periódico revisado por pares]

Oxford: MIT Press

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  • Título:
    How Does Parental Leave Affect Fertility and Return to Work? Evidence from Two Natural Experiments
  • Autor: Lalive, Rafael ; Zweimüller, Josef
  • Assuntos: Child care ; Childbirth ; Children ; Earnings ; Employment ; Family leave ; Female fertility ; Fertility ; Impact analysis ; Labor markets ; Maternity leave ; Mothers ; Parental leave ; Reforms ; Studies ; Working women
  • É parte de: The Quarterly journal of economics, 2009-08, Vol.124 (3), p.1363-1402
  • Notas: ark:/67375/HXZ-KQBG4CFF-0
    We are grateful to Larry Katz and to four anonymous referees for their comments. Johann K. Brunner, Regina Riphahn, and Rainer Winkelmann and participants at seminars in Amsterdam, Basel, Frankfurt, Kobe, Rotterdam, Vienna, Zurich, SOLE 2006, ESSLE 2006, the Vienna Conference on Causal Population Studies, the IZA Prize Conference 2006, and the German Economic Association meeting of 2005 also provided valuable discussion on previous versions of this paper. We bear the sole responsibility for all remaining errors. Beatrice Brunner, Simone Gaillard, Sandra Hanslin, and Simon Büchi provided excellent research assistance. We are grateful for financial support by the Austrian Science Foundation (FWF) under the National Research Network S103, “The Austrian Center for Labor Economics and the Analysis of the Welfare State,” Subproject “Population Economics.” Further financial support by the Austrian FWF (No. P15422-G05), the Swiss National Science Foundation (No. 8210-67640), and the Forschungs-Stiftung of the University of Zurich (project “Does Parental Leave Affect Fertility Outcomes?”) is also acknowledged. Rafael.Lalive@unil.ch; zweim@iew.uzh.ch.
    istex:6C5352926F0FEA6AAFCD20514174E7E4ACE07E82
  • Descrição: This paper analyzes the effects of changes in the duration of paid, job-protected parental leave on mothers' higher-order fertility and postbirth labor market careers. Identification is based on a major Austrian reform increasing the duration of parental leave from one year to two years for any child born on or after July 1, 1990. We find that mothers who give birth to their first child immediately after the reform have more second children than prereform mothers, and that extended parental leave significantly reduces return to work. Employment and earnings also decrease in the short run, but not in the long run. Fertility and work responses vary across the population in ways suggesting that both cash transfers and job protection are relevant. Increasing parental leave for a future child increases fertility strongly but leaves short-run postbirth careers relatively unaffected. Partially reversing the 1990 extension, a second 1996 reform improves employment and earnings while compressing the time between births.
  • Editor: Oxford: MIT Press
  • Idioma: Inglês
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