Tag: motherhood
We provide new evidence of forward-looking labor supply responses to changes in pension wealth. We exploit a 2014 German reform that increased pension wealth for mothers by an average of 4.4 percent per child born before January 1992. Using administrative data on the universe of working histories, we implement a difference-in-differences design comparing women who…
The brief’s key findings are: When women become mothers, their earnings often take a substantial, and permanent, hit that becomes larger with each additional child. The question is, how do Social Security provisions address this motherhood penalty once women enter retirement? The results show that Social Security offsets a substantial portion of the motherhood penalty,…
