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Penalties and Premiums. A Gender-Based Investigation into the Costs of Parenthood in Sweden.

Neilson, Jeffrey LU (2011) EKHR02 20111
Department of Economic History
Abstract
Numerous empirical studies have discovered that parenthood affects women’s earnings negatively, while men face much smaller penalties and even experience both fatherhood and marriage premiums. This paper uses a cross-sectional approach to analyze the earnings penalty of motherhood and fatherhood in Sweden. It also investigates various earnings penalties experienced by parents, such as the effects that number of children have on earnings, as well as varying returns to education. A cohort approach is taken to uncover whether later-born cohorts have incurred lesser penalties, which is theoretically motivated by the changing family-friendly policies and attitudes in Sweden at the time. Using microdata from the 1992 Swedish Family Survey, which... (More)
Numerous empirical studies have discovered that parenthood affects women’s earnings negatively, while men face much smaller penalties and even experience both fatherhood and marriage premiums. This paper uses a cross-sectional approach to analyze the earnings penalty of motherhood and fatherhood in Sweden. It also investigates various earnings penalties experienced by parents, such as the effects that number of children have on earnings, as well as varying returns to education. A cohort approach is taken to uncover whether later-born cohorts have incurred lesser penalties, which is theoretically motivated by the changing family-friendly policies and attitudes in Sweden at the time. Using microdata from the 1992 Swedish Family Survey, which has been matched with register income data, work experience, tenure, education and various labor market departures are controlled for. The findings suggest that no earnings penalty for motherhood exists amongst full-time employed women, yet a three percent penalty occurs when part-time workers are included in the analysis. Men on the other hand earn a one percent fatherhood earnings premium. Differing penalties also seem to exist between and within females working in the public and private sectors, with the results suggesting that penalties may be greater in the public sector. (Less)
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author
Neilson, Jeffrey LU
supervisor
organization
course
EKHR02 20111
year
type
H2 - Master's Degree (Two Years)
subject
keywords
family gap in earnings, motherhood, cross-sectional analysis, gender, public versus private sector, Sweden.
language
English
id
1977921
date added to LUP
2011-06-20 09:21:50
date last changed
2011-06-20 09:21:50
@misc{1977921,
  abstract     = {Numerous empirical studies have discovered that parenthood affects women’s earnings negatively, while men face much smaller penalties and even experience both fatherhood and marriage premiums. This paper uses a cross-sectional approach to analyze the earnings penalty of motherhood and fatherhood in Sweden. It also investigates various earnings penalties experienced by parents, such as the effects that number of children have on earnings, as well as varying returns to education. A cohort approach is taken to uncover whether later-born cohorts have incurred lesser penalties, which is theoretically motivated by the changing family-friendly policies and attitudes in Sweden at the time. Using microdata from the 1992 Swedish Family Survey, which has been matched with register income data, work experience, tenure, education and various labor market departures are controlled for. The findings suggest that no earnings penalty for motherhood exists amongst full-time employed women, yet a three percent penalty occurs when part-time workers are included in the analysis. Men on the other hand earn a one percent fatherhood earnings premium. Differing penalties also seem to exist between and within females working in the public and private sectors, with the results suggesting that penalties may be greater in the public sector.},
  author       = {Neilson, Jeffrey},
  keyword      = {family gap in earnings,motherhood,cross-sectional analysis,gender,public versus private sector,Sweden.},
  language     = {eng},
  note         = {Student Paper},
  title        = {Penalties and Premiums. A Gender-Based Investigation into the Costs of Parenthood in Sweden.},
  year         = {2011},
}