Living Conditions of Children and Parental Well-Being - Evidence from German Data on Life Satisfaction

21 Pages Posted: 21 Jul 2004

See all articles by Johannes Schwarze

Johannes Schwarze

University of Bamberg; German Institute for Economic Research (DIW Berlin); IZA Institute of Labor Economics

Date Written: July 2004

Abstract

The question that this paper addresses is whether or not parents are altruistic towards their children. A new approach will be introduced, where the life satisfaction data of parents will be regressed onto the living conditions of their children who now live independently. After controlling for unobserved household characteristics, no positive effect of children's actual household income on parents' satisfaction can be found. However, children's health and education have a positive impact on parental well-being. Both can be interpreted as an approximation of children's lifetime incomes. We also regress parental life satisfaction on the predicted life satisfaction of their children. A significant positive effect can be found, which can be interpreted as weak evidence for parental altruism. The paper uses data from the German Socio-Economic Panel Study (SOEP).

Keywords: family, altruism, life satisfaction, health and random effects

JEL Classification: C25, D13, D64, I19, I31

Suggested Citation

Schwarze, Johannes, Living Conditions of Children and Parental Well-Being - Evidence from German Data on Life Satisfaction (July 2004). Available at SSRN: https://ssrn.com/abstract=567247

Johannes Schwarze (Contact Author)

University of Bamberg ( email )

Kirschaeckerstrasse 39
Bamberg 96045
Germany
+49 951 863 2600 (Phone)
+49 951 863 5569 (Fax)

German Institute for Economic Research (DIW Berlin)

Mohrenstra├če 58
Berlin, 10117
Germany

IZA Institute of Labor Economics

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

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
83
Abstract Views
1,580
rank
325,127
PlumX Metrics