The Birth Order Effect: A Modern Phenomenon?

Abstract

We study the existence and evolution of the birth order differences in labor market outcomes in the Netherlands over the 19th century. Using historical family-linked administrative birth, death, and marriage records, we analyze the role of family composition and socio-economic status on occupational differences among siblings. Consistent with findings in modern developed countries, we find a negative and significant birth order effect in occupational rank in the mid 19th century Netherlands. Within the same family, later-born siblings are less likely to be employed in a non-manual occupation and have a lower ranked occupation. This negative birth order effect is primarily driven by the number of male older siblings and a strong positive first-born effect. It is also more salient among urban, protestant, and socioeconomically advantaged families. Surprisingly, the magnitude of the birth order effects remains relatively stable over a period a rapid economic growth in the Netherlands and there is only an increasing first-born advantage over time in urban areas. Taken together, our findings suggest that differing patterns of birth order effects observed in developed and developing countries in modern times are not likely attributable to differences in economic growth.

Keywords: Birth order, first-born, The Netherlands, historical data