A Cross-National Perspective on Unemployment and First Births

Abstract

This article investigates the impact of unemployment on the likelihood of having a first child. Using micro-data from the European Community Household Panel, I apply event history methods to analyze first-birth decisions in France, West Germany, and the UK (1994–2001). The results highlight weak negative effects of unemployment on family formation among men, which can be attributed to the inability to financially support a family. Among women, unemployment exerts a positive effect on the propensity to have a first child in Germany and the UK, where institutional settings aggravate work–family conflicts. Unemployment increases the likelihood of family formation among women with a moderate or low level of education. This does not, however, generally apply to French women or to highly educated women in Germany and the UK, who, when unemployed, favor a quick return to work over motherhood.