The Effect of Benefits on Single Motherhood in Europe

41 Pages Posted: 21 Mar 2006

See all articles by Libertad Gonzalez

Libertad Gonzalez

Universitat Pompeu Fabra; Barcelona Graduate School of Economics (Barcelona GSE); IZA Institute of Labor Economics

Date Written: March 2006

Abstract

This paper uses data from the eight waves of the European Community Household Panel (1994-2001) to estimate the impact of welfare benefits on the incidence of single motherhood and headship among young women across European countries. The regressions include country fixed effects as well as time trends that are allowed to vary by country, to account for fixed and trending unmeasured factors that could influence both benefit levels and family formation. The analysis also accounts for individual characteristics and labor market conditions. The results suggest that benefit levels have a small but significant positive effect on the prevalence of single mothers. An increase in yearly benefits of 1,000 euros is estimated to increase the incidence of single mother families by about 2 percent.

Keywords: single mothers, welfare benefits

JEL Classification: J12, J13, I38

Suggested Citation

Gonzalez, Libertad, The Effect of Benefits on Single Motherhood in Europe (March 2006). IZA Discussion Paper No. 2026, Available at SSRN: https://ssrn.com/abstract=892363 or http://dx.doi.org/10.2139/ssrn.892363

Libertad Gonzalez (Contact Author)

Universitat Pompeu Fabra ( email )

Ramon Trias Fargas 25-27
Barcelona, 08005
Spain

Barcelona Graduate School of Economics (Barcelona GSE)

Ramon Trias Fargas, 25-27
Barcelona, Barcelona 08005
Spain

IZA Institute of Labor Economics

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

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