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The short run effects of childbirth on parents' earnings in the Baltics
[journal article]
Abstract Having a child can have a heavy toll on parents' earnings, especially in the first years after childbirth, with mothers often being more affected than fathers. This is particularly true in the three Baltic states, with relatively generous parental leave benefits compared to the EU and norms encourag... view more
Having a child can have a heavy toll on parents' earnings, especially in the first years after childbirth, with mothers often being more affected than fathers. This is particularly true in the three Baltic states, with relatively generous parental leave benefits compared to the EU and norms encouraging mothers to care for children. I carry out an event study to estimate the effect of having a child on the earnings of both genders and find that the earnings of females reduce by half in the first calendar year after childbirth and by 20% to 33% in the second, while male earnings do not change in either period. This results in a widening earnings gap in the Baltics, more so than in several comparison countries (Denmark, Finland, Sweden, the Netherlands, and Norway), in the first two years after the birth of thefirst child.... view less
Keywords
Baltic States; birth; income; household income; child care; family; work-family balance; gender relations; education; childhood; motherhood; fatherhood; parents; parenthood; parental leave; Europe; Northern Europe; comparison
Classification
Family Sociology, Sociology of Sexual Behavior
Free Keywords
early childhood education and care; family benefits; EU-SILC 2018
Document language
English
Publication Year
2023
Page/Pages
p. 45-63
Journal
Baltic Journal of Economics, 23 (2023) 1
DOI
https://doi.org/10.1080/1406099X.2023.2187946
ISSN
1406-099X
Status
Published Version; peer reviewed