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The Dynamics of U.S. Household Economic Circumstances Around a Birth

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  • Alexandra B. Stanczyk

    (Mathematica)

Abstract

With the arrival of an infant, many households face increased demands on resources, changes in the composition of income, and a potentially heightened risk of income inadequacy. Changing household economic circumstances around a birth have implications for child and family well-being, women’s economic security, and public program design, yet have received little research attention in the United States. Using data from the Survey of Income and Program Participation, this study provides new descriptive evidence of month-to-month changes in household income adequacy and the composition of household income in the year before and after a birth. Results show evidence of significant declines in household income adequacy in the months around a birth, particularly for single mothers who live without other adults. Income from public benefit programs buffers but does not eliminate declines in income adequacy. Results have implications for policies targeted at this period, including public benefit and parental leave programs.

Suggested Citation

  • Alexandra B. Stanczyk, 2020. "The Dynamics of U.S. Household Economic Circumstances Around a Birth," Demography, Springer;Population Association of America (PAA), vol. 57(4), pages 1271-1296, August.
    • Handle: RePEc:spr:demogr:v:57:y:2020:i:4:d:10.1007_s13524-020-00897-1
    DOI: 10.1007/s13524-020-00897-1
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    1. Maxim N. Massenkoff & Evan K. Rose, 2022. "Family Formation and Crime," NBER Working Papers 30385, National Bureau of Economic Research, Inc.
    2. Jessica Pac & Lawrence M. Berger, 2024. "Quasi‐experimental evidence on the employment effects of the 2021 fully refundable monthly child tax credit," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 43(1), pages 192-213, January.
    3. Mónica L. Caudillo & Andrés Villarreal & Philip N. Cohen, 2022. "The Opioid Epidemic and Children’s Living Arrangements in the United States, 2000–2018," The ANNALS of the American Academy of Political and Social Science, , vol. 703(1), pages 162-187, September.
    4. Aljoscha Janssen & Elle Parslow, 2021. "Pregnancy persistently reduces alcohol purchases: Causal evidence from scanner data," Health Economics, John Wiley & Sons, Ltd., vol. 30(2), pages 231-247, February.
    5. Pac, Jessica & Bartel, Ann & Ruhm, Christopher & Waldfogel, Jane, 2023. "Paid family leave and parental investments in infant health: Evidence from California," Economics & Human Biology, Elsevier, vol. 51(C).

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