Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/223973
Authors: 
Lafférs, Lukáš
Schmidpeter, Bernhard
Year of Publication: 
2020
Series/Report no.: 
IZA Discussion Papers 13531
Abstract: 
The impact of children's early development status on parental labor market outcomes is not well established in the empirical literature. We combine an instrumental variable approach to account for the endogeneity of the development status with a model of non- random labor force participation to identify its impact. A one unit increase in our poor child development index reduces long-term maternal weekly hours worked by 9 hours and weekly income by 215 Australian Dollars. We provide evidence that mothers substitute working time with childcare to compensate for early disadvantages. We do not find any responds of fathers to early child development.
Subjects: 
child development
maternal labor supply
sample selection
instrumental variables estimation
time use
JEL: 
C21
I23
J13
J31
J64
Document Type: 
Working Paper

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