Living arrangements in Europe: whether and why paternal retirement matters

This paper uses retrospective micro data from eleven European countries to investigate the role of paternal retirement in explaining children’s decisions to leave the parental home. To assess causality, I use a bivariate discrete-time hazard model with shared frailty and exploit over time and cross-...

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Published in:Review of economics of the household 2017-06, Vol.15 (2), p.497-525
Main Author: Stella, Luca
Format: Article
Language:English
Subjects:
Behavioral economics
Datasets
Early retirement
Economic analysis
Economics
Economics and Finance
Emancipation
Families & family life
Family income
Households
Housing
Investigations
Labor Economics
Labor market
Living arrangements
Market entry
Microeconomics
Parents & parenting
Population Economics
Retirement
Social conditions & trends
Social Sciences
Studies
Young adults
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description This paper uses retrospective micro data from eleven European countries to investigate the role of paternal retirement in explaining children’s decisions to leave the parental home. To assess causality, I use a bivariate discrete-time hazard model with shared frailty and exploit over time and cross-country variation in early retirement legislation. Overall, the results indicate a positive and significant influence of paternal retirement on the probability of first nest-leaving of children residing in Southern European countries, for both sons and daughters. Focusing on Southern Europe, I find that the increase in children’s nest-leaving around the time of paternal retirement does not appear to be justified by changes in parental resources. Rather, channels involving the supply of informal child care provided by grandparents or the quality of the home should be the focus of study.
doi_str_mv 10.1007/s11150-016-9327-z
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subjects Behavioral economics
Datasets
Early retirement
Economic analysis
Economics
Economics and Finance
Emancipation
Families & family life
Family income
Households
Housing
Investigations
Labor Economics
Labor market
Living arrangements
Market entry
Microeconomics
Parents & parenting
Population Economics
Retirement
Social conditions & trends
Social Sciences
Studies
Young adults
title Living arrangements in Europe: whether and why paternal retirement matters
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