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Mothers' labour supply, household income and child outcomes in sole-parent families

Thursday 15 November 2018, 1.00PM to 2.00pm

Speaker(s): Marianne Bruins

Abstract: The causal relationship between household resources and child outcomes is a heavily researched topic in both economics and other disciplines, however research to-date has been unable to estimate separate effects across the different periods of child development. This limitation stands in contrast to the child production function literature, which suggests such effects can differ substantially with the age of a child. Using a new approach to estimation, which incorporates Lasso into the first stage of 2SLS, in this paper I am able to overcome this limitation. I find that an increase in mothers’ labour supply improves cognitive outcomes for children in sole-parent households. I also find that an increase in household income, when the child is between the ages of 6—18, improves behavioural outcomes at age 20.

Location: A/EC202 Economics Staff Room

Admission: Staff and PhD Students