Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/242435 
Year of Publication: 
2021
Series/Report no.: 
Beiträge zur Jahrestagung des Vereins für Socialpolitik 2021: Climate Economics
Publisher: 
ZBW - Leibniz Information Centre for Economics, Kiel, Hamburg
Abstract: 
This paper studies the causal effect of giving first birth and how that effect changes by the 2007 reform in parental benefits in Germany. We further investigate how the reform affects the selection of women into motherhood and how that selection effect affects labor market outcomes. A large novel data set merging data from the pension insurance with administrative labor market data provides information on all births. We apply a dynamic treatment effect approach which differs from other strategies used so far in most of the literature to estimate the causal effect of motherhood and to evaluate the 2007 reform. The reform has positive medium-run effects on earnings and employment while reducing full-time employment. There are no effects on second-order fertility. While the reform slightly changes the selection of mothers, this has little impact on the reform effect for the causal effect of motherhood.
Subjects: 
Parental leave reform
causal effect of motherhood
earnings
employmentdynamic treatment effect
JEL: 
J08
J13
J16
J22
Document Type: 
Conference Paper

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