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The costs of motherhood: an analysis using matching estimators

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  • Lars Skipper

    (Institute for Local Government Studies, Copenhagen, Denmark)

  • Marianne Simonsen

    (Department of Economics, University of Aarhus, Aarhus, Denmark)

Abstract

We estimate the effect of motherhood on wages using matching. We distinguish between net and direct effects. The net effect includes the total wage costs, whereas the direct represents the causal effect. Since covariates are likely affected by motherhood, the latter effect is not immediately uncovered. We therefore implement two strategies: first, we confine the analysis to consider sector-specific treatment effects; second, we impose additive separability on the outcome equation. We find negative net effects that vary little with sector. The direct effect is small and negative in the public sector and insignificant in the private sector. Copyright © 2006 John Wiley & Sons, Ltd.

Suggested Citation

  • Lars Skipper & Marianne Simonsen, 2006. "The costs of motherhood: an analysis using matching estimators," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 21(7), pages 919-934.
    • Handle: RePEc:jae:japmet:v:21:y:2006:i:7:p:919-934
    DOI: 10.1002/jae.893
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    References listed on IDEAS

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    3. Lechner, Michael, 1999. "Identification and Estimation of Causal Effects of Multiple Treatments Under the Conditional Independence Assumption," IZA Discussion Papers 91, Institute of Labor Economics (IZA).
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    6. repec:bla:econom:v:68:y:2001:i:270:p:137-56 is not listed on IDEAS
    7. Marianne Simonsen & Lars Skipper, 2004. "Identifying Direct and Indirect Effects. Estimating th Costs of Motherhood Using Matching Estimators," Discussion Papers 03-023, Stanford Institute for Economic Policy Research.
    8. Kristin F. Butcher & Anne Case, 1994. "The Effect of Sibling Sex Composition on Women's Education and Earnings," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 109(3), pages 531-563.
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