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Estimating Long-Term Consequences of Teenage Childbearing

An Examination of the Siblings Approach

Within-family estimates have been considered a remedy to selection bias in estimates of long-run consequences of teen motherhood. A major critique, however, is that heterogeneity within the family might still bias the estimates. Using Swedish data on biological sisters, I revisit the question of the consequences of teenage motherhood. My contribution lies in controlling for heterogeneity within the family by using premotherhood school performance, a characteristic that differs across sisters. My findings confirm the presumption that within-family heterogeneity can result in biased sibling estimates. Moreover, my results show that when controlling for school performance, the siblings approach and a traditional cross-section yield similar coefficients.