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The Dynamics of Employment Around Child Birth

The Dynamics of Employment Around Child Birth. January 2003 J.D. Vlasblom J.J. Schippers Utrecht School of Economics Utrecht University. Patterns of Labour Supply, First Child. Effects of Institutions. Institutions provide Incentives (e.g. subsidies) Restrictions (availability)

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The Dynamics of Employment Around Child Birth

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  1. The Dynamics of Employment Around Child Birth January 2003 J.D. Vlasblom J.J. Schippers Utrecht School of Economics Utrecht University FENICs Female Employment and Family Formation in National Institutional Contexts

  2. Patterns of Labour Supply, First Child FENICs Female Employment and Family Formation in National Institutional Contexts

  3. Effects of Institutions Institutions provide • Incentives (e.g. subsidies) • Restrictions (availability) Relevant institutions (cf. Koopmans): • Child care • Taxes • Maternity leave FENICs Female Employment and Family Formation in National Institutional Contexts

  4. Measuring the Effect of Institutions • Cross country comparison • Types of welfare states (cf. Thevenon) • Changes over time FENICs Female Employment and Family Formation in National Institutional Contexts

  5. Changes in Institutions • Netherlands • More child care facilities since 1985 • Germany • Longer periods of maternity leave • Higher child related tax deductions • United Kingdom • No large changes FENICs Female Employment and Family Formation in National Institutional Contexts

  6. Estimations • Multinomial logit model on “transition types” • Estimation results show: Higher educated women -> more YY, less YN Older at first birth -> more YY, less YN -> Changes over time in patterns FENICs Female Employment and Family Formation in National Institutional Contexts

  7. Estimated Changes Over Time FENICs Female Employment and Family Formation in National Institutional Contexts

  8. Conclusions • Human capital influences decisions • Changes in institutions affect decisions Policy implications • Be aware of the effects on institutional changes on decisions • Be aware of ‘indirect effects’ on income (cf. Davies) and/or fertility (cf. Gonzales) FENICs Female Employment and Family Formation in National Institutional Contexts

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