6533b85cfe1ef96bd12bc743

RESEARCH PRODUCT

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subject

Gender inequalityEconomics and Econometricseducation.field_of_studyEarnings05 social sciencesPopulationEvent studyPopulation basedSocial security0502 economics and businessEconomicsDemographic economics050207 economicseducationFinance050205 econometrics

description

Abstract This study presents evidence on the effect of parenthood on labor market outcomes in Finland. We use population-based data drawn from administrative registers and an event study design centered around the birth of the first child using the specification proposed in Kleven et al. (2019b) . The study confirms that women encounter large short- and long-term child penalties in gross labor earnings and that penalties are associated with employment participation. Taxes and social security transfers considerably reduce the child penalty, which also varies by the number of children.