Ruhr Economic Papers

Ruhr Economic Papers #583

Start Me Up – How Fathers’ Unemployment Affects their Sons’ School-to-Work Transitions

by Michael Kind

RWI, 10/2015, 25 S./p., 8 Euro, ISBN 978-3-86788-675-8 DOI: 10.4419/86788675

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Abstract

Using data from the German Socio-Economic Panel (SOEP), continuous-time duration models are applied to examine whether paternal unemployment delays sons’ school-to-work transitions and thus leads to a spell of early career non-employment. The results show that substantial delaying effects of fathers’ unemployment exist and that they are heterogeneous among educational groups. Therefore, paternal unemployment implies long-run intergenerational costs by hindering sons’ smooth school-to-work transitions which can be expected to have long-lasting negative labor market consequences.

JEL-Classification: J64

Keywords: School-to-work transition; parental unemployment; youth unemployment

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