Table 3

Labor Market Outcomes for Mothers After Birth

Positive IncomeLog Earnings
Y1Y2Y3Y1Y2Y3
(1)(2)(3)(4)(5)(6)
Panel A1: OLS
AD 1–10 mo, after birth–0.092**–0.101**–0.104**–0.141**–0.159**–0.205**
(0.004)(0.004)(0.004)(0.012)(0.011)(0.011)
Panel A2: 2SLS
AD 1–10 mo. after birth–0.821*–0.089–0.0211.0420.305–0.416
(0.406)(0.420)(0.405)(1.213)(1.331)(1.329)
Weak IV 95% AR  confidence set[−1.907; −0.137][−0.962; 0.868][−0.862; 0.901][−1.238; 4.283][−2.462; 3.337][−3.179; 2.347]
Mean outcome0.9100.9050.900€30,590€31,947€33,457
F-statistic first stage15.2315.2315.2313.0913.7216.93
Observations427,475427,475427,475386,973384,930382,611
Panel B1: OLS Top 25% Income
AD 1–10 mo. after birth–0.028**–0.034**–0.045**–0.063**–0.094**–0.146**
(0.006)(0.007)(0.008)(0.022)(0.019)(0.023)
Panel B2: 2SLS Top 25% Income
AD 1–10 mo. after birth–0.1790.3290.0210.172–0.3880.687
(0.269)(0.321)(0.303)(1.062)(1.213)(1.554)
Weak IV 95% AR  confidence set[−0.791; 0.327][−0.276; 0.997][−0.609; 0.591][−1.825; 2.591][−2.910; 2.374][−2.236; 4.533]
Mean outcome0.9780.9720.968€48,670€50,504€52,673
F-statistic first stage21.8821.8821.8818.8916.3914.11
Observations106,868106,868106,868104,146103,464102,926
Panel C1: OLS Bottom 75% Income
AD 1–10 mo. after birth–0.096**–0.106**–0.107**–0.131**–0.151**–0.195**
(0.004)(0.004)(0.004)(0.012)(0.013)(0.013)
Panel C2: 2SLS Bottom 75% Income
AD 1–10 mo. after birth–1.331*–0.473–0.1960.229–0.321–1.921
(0.665)(0.599)(0.599)(1.837)(1.845)(1.774)
Weak IV 95% AR  confidence set[−4.557; −0.344][−2.428; 0.890][−1.915; 1.403][−5.773; 6.594][−6.348; 4.245][−7.363; 1.415]
Mean outcome0.8870.8830.878€23,933€25,125€26,385
F-statistic first stage7.167.167.165.646.849.71
Observations320,607320,607320,607282,827281,466279,685
  • Notes: Panels B and C split the sample by household income (mean of the sum of maternal and paternal income in the two years prior to first birth). Positive income is a dummy variable and indicates that an individual had income greater than zero in the full calendar years after the birth year (Y1–Y3). Log earnings conditional on employment (after an inflation correction) is also reported for the three years after the birth year (Y1–Y3). All specifications include area-level fixed effects, year of birth fixed effects, individual controls, and postal code–level controls. Robust standard errors are clustered at the area level and are shown in parentheses. Significance: *p < 0.05, **p < 0.01.