Sibling Spillovers

Endowments at birth and parents’ investment in children

Sandra Black, Sanni Breining, David Figlio, Jonathan Guryan, Krzysztof Karbownik, Helena Nielsen, Jeffrey Roth and Marianne Simonsen

The Economic Journal, 2021, vol. 131, issue 633, 101-128

Abstract: It is notoriously difficult to identify peer effects within the family. Using administrative data on children from both Florida and Denmark, the paper examines the effects of having a disabled younger sibling. To address the identification challenge, the paper compares the differential effects for first- and second-born children in three-plus-child families, taking advantage of the fact that birth order influences the amount of time that a child spends in early childhood with their younger siblings, disabled or not. The paper finds evidence that, relative to the first born, the second child in a family is differentially affected when the third child is disabled.

Date: 2021
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Related works:
Working Paper: Sibling Spillovers (2017)
Working Paper: Sibling Spillovers (2017)
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