Maternity Benefits and Marital Stability after Birth: Evidence from the Soviet Baltic Republics

72 Pages Posted: 8 Apr 2021 Last revised: 21 Jun 2023

See all articles by Elizabeth Brainerd

Elizabeth Brainerd

Brandeis University - Department of Economics; IZA Institute of Labor Economics

Olga Malkova

University of Kentucky - Department of Economics

Multiple version iconThere are 2 versions of this paper

Date Written: May 18, 2023

Abstract

Can a policy intervention in the stressful first year after a birth affect marital stability? We examine this question using a large expansion in maternity benefits in 1982 in the Baltic countries of Estonia, Latvia and Lithuania. The program provided partially paid leave until the child’s first birthday and included a small cash payment at birth. We use individual-level panel data and compare the Baltics with similar East European countries using a difference-in-differences framework. Maternity benefits decrease divorce within the first year after birth. This decrease persists for at least a decade, indicating that couples avoided divorce altogether rather than simply delaying it. While mothers extended their leave by several months, they returned to full-time work afterwards, consistent with egalitarian gender norms in the labor market.

Keywords: maternity benefits, family policy, marital stability, divorce

JEL Classification: J12, J16, J18, H31, P36

Suggested Citation

Brainerd, Elizabeth and Malkova, Olga, Maternity Benefits and Marital Stability after Birth: Evidence from the Soviet Baltic Republics (May 18, 2023). Available at SSRN: https://ssrn.com/abstract=3819984 or http://dx.doi.org/10.2139/ssrn.3819984

Elizabeth Brainerd (Contact Author)

Brandeis University - Department of Economics ( email )

Waltham, MA 02454-9110
United States

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Olga Malkova

University of Kentucky - Department of Economics ( email )

Lexington, KY 40506
United States

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