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Intergenerational transmission of unemployment : evidence for German sons

By Miriam Mäder, Steffen Müller, Regina T. Riphahn and Caroline Schwientek


This paper studies the association between the unemployment experience of fathers and their\ud sons. Based on German survey data that cover the last decades we find significant positive\ud correlations. Using instrumental variables estimation and the Gottschalk (1996) method we\ud investigate to what extent fathers' unemployment is causal for offsprings' employment\ud outcomes. In agreement with most of the small international literature we do not find a positive\ud causal effect for intergenerational unemployment transmission. This outcome is robust to\ud alternative data structures and to tests at the intensive and extensive margin of unemployment.\u

Topics: 330 Wirtschaft
Year: 2014
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