1. Based on the Kleven et al. (2019) paper's graphs, answer the next questions: Short-Run Long-Run Panel B. Hours worked 0.2 First child birth Hours worked relative tor- 0.1 0 -0.1 -0.2 -0.3 -0.4 -0.5 -0.6 Long-run child penalty = 0.097 TT -5-4-3-2-1 0 1 2 3 4 5 6 7 8 9 10 Event time (years) Male Female Panel D. Wage rates First child birth Wage rate relative tor: 0.2 0.1 0 -0.1 -0.2- -0.3 -0.4 -0.5- -0.6 Long-run child penalty = 0.091 דד -5-4-3-2-1 0 1 2 3 4 5 6 7 8 9 10 Event time (years) Male Female Panel B. Hours worked Hours worked relative tor=-1 0.2 20 years after child birth First child birth || 0.1 0 -0.1 -0.2 -0.3 -0.4 -0.5 우 -0.64 -5 0 5 10 Long-run child penalty -0.065 Event time (years) TT 15 20 Male Female Panel D. Wage rates 0.2+ Wage rate relative to = -1 20 years after child birth First child birth T 0.1 0- -0.1 -0.2 -0.3 -0.4 -0.5 Long-run child penalty = 0.143 -0.6 TT -5 0 5 10 15 20 Event time (years) Male Female a) What might explain the wage drop for females during the first year after having a child? b) Can we assume that the gap difference between males and females with children is because females are discriminated against in the labour market? c) Which factors can produce a wage gap between individuals within the group of females with children? d) If employers were to provide more family-friendly workplace practices, what would that do to the male-female wage gap and why?

Exploring Economics
8th Edition
ISBN:9781544336329
Author:Robert L. Sexton
Publisher:Robert L. Sexton
Chapter17: Income, Poverty, And Health Care
Section: Chapter Questions
Problem 11P
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1. Based on the Kleven et al. (2019) paper's graphs, answer the next questions:
Short-Run
Long-Run
Panel B. Hours worked
0.2
First child birth
Hours
worked relative tor-
0.1
0
-0.1
-0.2
-0.3
-0.4
-0.5
-0.6
Long-run child penalty = 0.097
TT
-5-4-3-2-1 0 1 2 3 4 5 6 7 8 9 10
Event time (years)
Male Female
Panel D. Wage rates
First child birth
Wage rate relative tor:
0.2
0.1
0
-0.1
-0.2-
-0.3
-0.4
-0.5-
-0.6
Long-run child penalty = 0.091
דד
-5-4-3-2-1 0 1 2 3 4 5 6 7 8 9 10
Event time (years)
Male
Female
Panel B. Hours worked
Hours worked relative tor=-1
0.2
20 years after child birth
First child birth
|| 0.1
0
-0.1
-0.2
-0.3
-0.4
-0.5
우 -0.64
-5 0
5
10
Long-run child penalty -0.065
Event time (years)
TT
15
20
Male
Female
Panel D. Wage rates
0.2+
Wage rate relative to = -1
20 years after child birth
First child birth
T 0.1
0-
-0.1
-0.2
-0.3
-0.4
-0.5
Long-run child penalty = 0.143
-0.6
TT
-5 0
5
10
15 20
Event time (years)
Male Female
a) What might explain the wage drop for females during the first year after having a child?
b) Can we assume that the gap difference between males and females with children is
because females are discriminated against in the labour market?
c) Which factors can produce a wage gap between individuals within the group of females
with children?
d) If employers were to provide more family-friendly workplace practices, what would that
do to the male-female wage gap and why?
Transcribed Image Text:1. Based on the Kleven et al. (2019) paper's graphs, answer the next questions: Short-Run Long-Run Panel B. Hours worked 0.2 First child birth Hours worked relative tor- 0.1 0 -0.1 -0.2 -0.3 -0.4 -0.5 -0.6 Long-run child penalty = 0.097 TT -5-4-3-2-1 0 1 2 3 4 5 6 7 8 9 10 Event time (years) Male Female Panel D. Wage rates First child birth Wage rate relative tor: 0.2 0.1 0 -0.1 -0.2- -0.3 -0.4 -0.5- -0.6 Long-run child penalty = 0.091 דד -5-4-3-2-1 0 1 2 3 4 5 6 7 8 9 10 Event time (years) Male Female Panel B. Hours worked Hours worked relative tor=-1 0.2 20 years after child birth First child birth || 0.1 0 -0.1 -0.2 -0.3 -0.4 -0.5 우 -0.64 -5 0 5 10 Long-run child penalty -0.065 Event time (years) TT 15 20 Male Female Panel D. Wage rates 0.2+ Wage rate relative to = -1 20 years after child birth First child birth T 0.1 0- -0.1 -0.2 -0.3 -0.4 -0.5 Long-run child penalty = 0.143 -0.6 TT -5 0 5 10 15 20 Event time (years) Male Female a) What might explain the wage drop for females during the first year after having a child? b) Can we assume that the gap difference between males and females with children is because females are discriminated against in the labour market? c) Which factors can produce a wage gap between individuals within the group of females with children? d) If employers were to provide more family-friendly workplace practices, what would that do to the male-female wage gap and why?
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