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The Transferable Scars: A Longitudinal Evidence of Psychological Impact of Past Parental Unemployment on Adolescents in the United Kingdom

Nattavudh Powdthavee and James Vernoit

CEP Discussion Papers from Centre for Economic Performance, LSE

Abstract: Using a longitudinal data of British youths, this paper explores the consequences of past parental unemployment on the current happiness and self-esteem of the children. We find that a past unemployment spell of the father has important consequences for their children and leads to them having both lower subjective well-being and self-confidence. In addition, this paper also presents evidence that both subjective well-being and self-confidence responds differently to maternal unemployment compared to paternal unemployment. In our final table, we show changes in adolescents' well-being and self-esteem predicts educational attainments at 16. Together these findings offer new evidence of unemployment scarring on children's livelihood.

Keywords: Unemployment; scarring; children; happiness; self-esteem; noncognitive skills (search for similar items in EconPapers)
JEL-codes: D1 I3 J6 (search for similar items in EconPapers)
Date: 2012-09
New Economics Papers: this item is included in nep-eur, nep-lab and nep-ltv
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Citations: View citations in EconPapers (5)

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