The Economics of Grief

59 Pages Posted: 1 Dec 2012

See all articles by Gerard J. van den Berg

Gerard J. van den Berg

VU University Amsterdam - Department of Economics; Centre for Economic Policy Research (CEPR); IZA Institute of Labor Economics; Tinbergen Institute

Petter Lundborg

Lund University School of Economics and Management; Tinbergen Institute; IZA Institute of Labor Economics

Johan Vikström

Uppsala University; IFAU - Institute for Labour Market Policy Evaluation

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Abstract

We study the short-run and long-run economic impact of one of the largest losses that an individual can face; the death of a child. We utilize unique merged registers on the entire Swedish population, combining information on the date and cause of death with parents' labor market outcomes, health outcomes, marital status, and subsequent fertility. We exploit the longitudinal dimension of the data and deal with a range of selection issues. We distinguish between effects on labor and various non-labor income components and we consider patterns over time. We find that labor market effects are persistent.

Keywords: sickness absenteeism, depression, child mortality, labor supply, bereavement, employment, marriage, death, divorce, mental health, fertility

JEL Classification: I12, I11, J14, J12, C41

Suggested Citation

van den Berg, Gerard J. and Lundborg, Petter and Vikström, Johan, The Economics of Grief. IZA Discussion Paper No. 7010. Available at SSRN: https://ssrn.com/abstract=2183543

Gerard J. Van den Berg (Contact Author)

VU University Amsterdam - Department of Economics ( email )

De Boelelaan 1105
1081 HV Amsterdam
Netherlands
+31 20 444 6132 (Phone)
+32 20 444 6020 (Fax)

Centre for Economic Policy Research (CEPR)

London
United Kingdom

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Tinbergen Institute

Burg. Oudlaan 50
Rotterdam, 3062 PA
Netherlands

Petter Lundborg

Lund University School of Economics and Management ( email )

P.O Box 7080
Lund
Sweden

Tinbergen Institute ( email )

Burg. Oudlaan 50
Rotterdam, 3062 PA
Netherlands

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Johan Vikström

Uppsala University ( email )

Box 513
Uppsala, 751 20
Sweden

IFAU - Institute for Labour Market Policy Evaluation

Box 513
751 20 Uppsala
Sweden

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