Short-run fertility effects of parental leave benefits : evidence from a structural model


Stichnoth, Holger


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URL: https://ub-madoc.bib.uni-mannheim.de/37142
URN: urn:nbn:de:bsz:180-madoc-371420
Document Type: Working paper
Year of publication: 2014
The title of a journal, publication series: ZEW Discussion Papers
Volume: 14-069
Place of publication: Mannheim
Publication language: English
Institution: Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series: Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject: 330 Economics
Classification: JEL: C25 , C53 , J13 , J22,
Keywords (English): Fertility , female labour supply , family policy , parental leave , latent class models , state dependence
Abstract: Based on a structural model of fertility and female labour force supply with unobserved heterogeneity and state dependence, we evaluate the 2007 reform of parental leave benefits in Germany, which replaced a flat, means-tested benefit by a generous earnings-related transfer. The model predicts a short-term fertility effect of about 4%, which is consistent with recent quasi-experimental evidence. The fertility effect is strongest for first births and increases with income. We use the model for a number of counterfactual policy experiments in which we vary the generosity of parental leave benefits.

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Stichnoth, Holger (2014) Short-run fertility effects of parental leave benefits : evidence from a structural model. Open Access ZEW Discussion Papers Mannheim 14-069 [Working paper]
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