In-school labour supply, parental transfers, and wages
Dustmann,C. Micklewright,J. van Soest,A.H.O.
Dustmann,C.
Micklewright,J.
van Soest,A.H.O.
Abstract
In many industrialised countries, teenagers have a significant spending power, and they are important customers for specialised industries. The income of teenagers still in full time education comes from two major sources: parental pocket money and earnings from part-time jobs. Little is known about the way these sources interact, and how they depend on parental, school and family characteristics. In this paper, we analyse labour supply of 16 year old British teenagers together with the cash transfers made to them by their parents. We first develop a theoretical model, where labour supply and transfers are jointly determined. We then estimate labour supply and transfers jointly, using unique data on labour supply of teenagers, the wages they receive, and the transfers from their parents. We show how these two processes depend on each other, and how transfers and labour supply react to changes in wages.
Description
Date
2009
Journal Title
Journal ISSN
Volume Title
Publisher
Research Projects
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Journal Issue
Keywords
SDG 8 - Decent Work and Economic Growth, SDG 16 - Peace, Justice and Strong Institutions
Citation
Dustmann, C, Micklewright, J & van Soest, A H O 2009, 'In-school labour supply, parental transfers, and wages', Empirical Economics, vol. 37, no. 1, pp. 201-218.