The Career Costs of Children

Christian Dustmann, Katrien Stevens and Jerome Adda

No 11586, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: We estimate a dynamic life-cycle model of labor supply, fertility and savings, incorporating occupational choices, with specific wage paths and skill atrophy that vary over the career. This allows us to understand the trade-o between occupational choice and desired fertility, as well as the sorting both into the labor market and across occupations. We quantify the life-cycle career costs associated with children, how they decompose into loss of skills during interruptions, lost earnings opportunities and selection into more child-friendly occupations. We analyze the long-run effects of policies that encourage fertility and show that they are considerably smaller than short-run effects.

Keywords: Fertility; Labor supply; Occupation; Dynamic structural model; Gender wage gap (search for similar items in EconPapers)
JEL-codes: C15 C33 J13 J22 J24 J31 (search for similar items in EconPapers)
Date: 2016-10
New Economics Papers: this item is included in nep-dge, nep-gen and nep-lma
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (16)

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Related works:
Journal Article: The Career Costs of Children (2017)
Working Paper: The Career Costs of Children (2016)
Working Paper: The Career Costs of Children (2012)
Working Paper: The Career Costs of Children (2011)
Working Paper: The Career Costs of Children (2011)
Working Paper: The Career Costs of Children (2011)
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