Arbeitspapier

Child Health, Parental Well-Being, and the Social Safety Net

How do parents contend with threats to the health and survival of their children? Can the social safety net mitigate negative economic effects through transfers to affected families? We study these questions by combining the universe of cancer diagnoses among Danish children with register data for affected and matched unaffected families. Parental income declines substantially for 3-4 years following a child's cancer diagnosis. Fathers' incomes recover fully, but mothers' incomes remain 3% lower 12 years after diagnosis. Using a policy reform that introduced variation in the generosity of targeted safety net transfers to affected families, we show that such transfers play a crucial role in smoothing income for these households and, importantly, do not generate work disincentive effects. The pattern of results is most consistent with the idea that parents' preferences to personally provide care for their children during the critical years following a severe health shock drive changes in labor supply and income. Mental health and fertility effects are also observed but are likely not mediators for impacts on economic outcomes.

Sprache
Englisch

Erschienen in
Series: IZA Discussion Papers ; No. 16115

Klassifikation
Wirtschaft
Health: General
Fertility; Family Planning; Child Care; Children; Youth
Time Allocation and Labor Supply
Thema
child health
income
labor supply
safety net
cash transfers
disincentive effects
long-run effects
mental health
childhood cancers
Denmark

Ereignis
Geistige Schöpfung
(wer)
Adhvaryu, Achyuta
Daysal, N. Meltem
Gunnsteinsson, Snaebjorn
Molina, Teresa
Steingrimsdottir, Herdis
Ereignis
Veröffentlichung
(wer)
Institute of Labor Economics (IZA)
(wo)
Bonn
(wann)
2023

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Adhvaryu, Achyuta
  • Daysal, N. Meltem
  • Gunnsteinsson, Snaebjorn
  • Molina, Teresa
  • Steingrimsdottir, Herdis
  • Institute of Labor Economics (IZA)

Entstanden

  • 2023

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