Department of Economics and Business Economics

The long-term effect of childhood poverty

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  • Rune V. Lesner

This paper uses variation among siblings to identify the consequences of childhood poverty on both labour and marriage market outcomes. In the labour market, individuals who experienced childhood poverty are found to have lower earnings and lower labour market attachment and to have worse jobs both vertically in terms of low-paying industries and horizontally in terms of job positions. In the marriage market, childhood poverty is found to have negative consequences for the probability of marriage, cohabitation, and having children around the age of 30. The effect sizes are found to exhibit an inverse u-shape in the age of the child, peaking during adolescence. Results on educational choices suggest that the mechanisms behind these results can be that childhood poverty affects the skill formation, networks, and decision making of the child.

Original languageEnglish
JournalJournal of Population Economics
Volume31
Issue3
Pages (from-to)969–1004
Number of pages36
ISSN0933-1433
DOIs
Publication statusPublished - 2018

    Research areas

  • Child development, Family background, Intergenerational mobility, Poverty, Siblings

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