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Grandchildren and their grandparents' labor supply

Peter Rupert and Giulio Zanella ()

Journal of Public Economics, 2018, vol. 159, issue C, 89-103

Abstract: Working-age grandparents supply large amounts of child care, an observation that raises the question of how having grandchildren affects grandparents' own labor supply. Exploiting the unique genealogical design of the PSID and the random variation in the timing when the parents of first-born boys and girls become grandparents, we estimate a structural labor supply model and find a negative effect on employed grandmother's hours of work of about 30% that is concentrated near the bottom of the hours distribution, i.e., among women less attached to the labor market. Implications for the evaluation of child care and parental leave policies are discussed.

Keywords: Labor supply; Grandparents; Child care (search for similar items in EconPapers)
JEL-codes: D19 J13 J14 J22 (search for similar items in EconPapers)
Date: 2018
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Related works:
Working Paper: Grandchildren and Their Grandparents' Labor Supply (2017) Downloads
Working Paper: Grandchildren and Their Grandparents’ Labor Supply (2014) Downloads
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