Discussion Paper Series in Economics, Department of Economics, Norwegian School of Economics (NHH)
Are all of the good men fathers? The effect of having children on earnings.
Abstract: This study reconsiders the empirical question of whether
menís earnings increase because of children. Large Norwegian register data
are used for brother and twin pairs who are followed over their life cycle
from their first entry into the labour market. The data permit family-fixed
effects to be modeled in various ways, as well as observing earnings growth
before and after having children. The simple conditional correlation
between children and earnings is positive. When only variation from
between-sibling differences is used, the earnings effect post entry into
firstfatherhood declines. The effect becomes small and non-significant when
we use twins.
Keywords: Children; marriage; earnings; men; selection; siblings; twins; panel data.; (follow links to similar papers)
JEL-Codes: J13; J16; J22; J24; J31; (follow links to similar papers)
36 pages, April 10, 2014
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