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- Articles and reports: 11F0019M2008304Geography: CanadaDescription:
Using data from a large Canadian longitudinal dataset, we examine whether earnings of wives and teenagers increase in response to layoffs experienced by husbands. We find virtually no evidence of an "added worker effect" for the earnings of teenagers. However, we find that among families with no children of working age, wives' earnings offset about one fifth of the earnings losses experienced by husbands five years after the layoff.
We also contrast the long-term earnings losses experienced by husbands and unattached males. Even though the former group might be less mobile geographically than the latter, we find that both groups experience roughly the same earnings losses in the long run. Furthermore, the income losses (before tax and after tax) of both groups are also very similar. However, because unattached males have much lower pre-layoff income, they experience much greater relative income shocks than (families of) laid-off husbands.
Release date: 2008-02-21 - 2. Pensions and retirement savings of families ArchivedArticles and reports: 75-001-X200711113197Geography: CanadaDescription:
Prime-aged couples experienced a moderate decline in RPP coverage over the last two decades, as the substantial growth in wives labour market participation and the slight increase in their RPP coverage only partially offset a substantial decline in husbands coverage. On average, retirement savings of families rose over the last two decades, but the distribution became more unequal. To a large extent, the uneven growth in retirement savings mirrors the sharp increase in family earnings inequality since the early 1980s.
Release date: 2007-12-19 - 3. Income Instability of Lone Parents, Singles and Two-Parent Families in Canada, 1984 to 2004 ArchivedArticles and reports: 11F0019M2007297Geography: CanadaDescription:
This paper examines income instability of lone parents, singles and two-parent families in Canada in the past two decades using tax data. We attempt to answer the following questions: Has there been a widespread increase in earnings instability among lone parents (especially lone mothers) and unattached individuals over the past 20 years? How do the trends in earnings instability among lone parents and unattached individuals compare to the trends among the two-parent families? What is the role of government transfers and the progressive tax system in mitigating differences in earnings instability across different segments of the earnings distribution among the above-mentioned groups? We find little evidence of a widespread increase in earnings instability in the past two decades and show that government transfers play a particularly important role in reducing employment income instability of lone mothers and unattached individuals.
Release date: 2007-03-29 - 4. Earnings instability ArchivedArticles and reports: 75-001-X200611013172Geography: CanadaDescription:
Using tax data, this paper examines earnings instability among lone parents, unattached individuals, and two-parent families over the past two decades. When income tax effects and main sources of income were considered, no strong evidence of a widespread increase in instability was found. Government transfers play a particularly important role in reducing the earnings instability of lone mothers and unattached individuals
Release date: 2006-12-20 - Articles and reports: 11F0019M2006286Geography: CanadaDescription:
We analyze the degree to which Canadian families are covered by private pension plans and document how their savings for retirement (made through contributions to tax-assisted retirement savings programs) have evolved over the last two decades. We find that two-parent families, lone-parent families and other individuals located in the bottom quintile of the earnings distribution are not better prepared for retirement than their counterparts were in the mid-1980s or the early 1990s. On the other hand, those located in the top quintile are better prepared than their counterparts were in the mid-1980s or the early 1990s. As a result, Canadian families' preparedness for retirement, which was fairly unequal in the mid-1980s, has become even more unequal over the last two decades. This finding has important implications for the future. Recent research has shown that the maturation of the Canada and Quebec Pension Plans (C/QPPs) has led to a substantial reduction in income inequality among the elderly between the early 1980s and the mid-1990s. In the absence of offsetting trends, the growing inequality in Canadian families preparedness for retirement implies that that the distribution of family income among seniors should become more unequal in the years to come.
Release date: 2006-09-26 - 6. The Instability of Family Earnings and Family Income in Canada, 1986 to 1991 and 1996 to 2001 ArchivedArticles and reports: 11F0019M2005265Geography: CanadaDescription:
We investigate how family earnings instability has evolved between the late 1980s and the late 1990s and how family income instability varies across segments of the (family-level) earnings distribution. We uncover four key patterns. First, among the subset of families who were intact over the 1982-1991 and 1992-2001 periods, family earnings instability changed little between the late 1980s and the late 1990s. Second, the dispersion of families' permanent earnings became much more unequal during that period. Third, families who were in the bottom tertile of the (age-specific) earnings distribution in 1992-1995 had, during the 1996-2001 period, much more unstable market income than their counterparts in the top tertile. Fourth, among families with husbands aged under 45, the tax and transfer system has, during the 1996-2001 period, eliminated at least two-thirds (and up to all) of the differences in instability (measured in terms of proportional income gains/losses) in family market income that were observed during that period between families in the bottom tertile and those in the top tertile. This finding highlights the key stabilization role played by the tax and transfer system, a feature that has received relatively little attention during the 1990s when Employment Insurance (EI) (formerly known as Unemployment Insurance (UI)) and Social Assistance were reformed.
Release date: 2005-11-02 - 7. Summary Of: The Instability of Family Earnings and Family Income in Canada, 1986 to 1991 and 1996 to 2001 ArchivedArticles and reports: 11F0019M2005266Geography: CanadaDescription:
This article summarizes findings from the research paper entitled: The Instability of Family Earnings and Family Income in Canada, 1986 to 1991 and 1996 to 2001. Despite its implications for family well-being, little attention has been paid to the analysis of earnings instability in the context of the family versus the earnings profiles of individuals. While a focus on individuals is important, the extent to which families can generate stable income flows from the labour market is a key concern for policymakers. Therefore, using data from Statistics Canada's Longitudinal Administrative Databank (LAD), this study documents how family earnings instability has evolved between two six-year periods: 1986-1991 and 1996-2001. We also examine how husbands' earnings instability compares to couples' earnings instability, and we compute measures of instability based on family earnings, family market income, and family income before and after tax. This allows us to examine the extent to which wives' earnings reduce the volatility of husbands' employment income; the extent to which the tax and transfer system plays a stabilization role; and the extent to which wives' earnings, taxes, and transfers reduce the differences in instability between couples in the bottom of the earnings distribution and those in the top.
Release date: 2005-11-02 - Articles and reports: 11F0019M2004232Geography: CanadaDescription:
This study extends previous work on the evolution of the education premium, and investigates the existence of diverging university/high school earnings ratio trends across industries in the knowledge-based economy. The study also discusses the changing demand for high-skilled workers by comparing relative wages of university graduates holding degrees in "applied" fields to those of other university graduates (the "field" premium).
Release date: 2004-09-29
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Articles and reports (8)
Articles and reports (8) ((8 results))
- Articles and reports: 11F0019M2008304Geography: CanadaDescription:
Using data from a large Canadian longitudinal dataset, we examine whether earnings of wives and teenagers increase in response to layoffs experienced by husbands. We find virtually no evidence of an "added worker effect" for the earnings of teenagers. However, we find that among families with no children of working age, wives' earnings offset about one fifth of the earnings losses experienced by husbands five years after the layoff.
We also contrast the long-term earnings losses experienced by husbands and unattached males. Even though the former group might be less mobile geographically than the latter, we find that both groups experience roughly the same earnings losses in the long run. Furthermore, the income losses (before tax and after tax) of both groups are also very similar. However, because unattached males have much lower pre-layoff income, they experience much greater relative income shocks than (families of) laid-off husbands.
Release date: 2008-02-21 - 2. Pensions and retirement savings of families ArchivedArticles and reports: 75-001-X200711113197Geography: CanadaDescription:
Prime-aged couples experienced a moderate decline in RPP coverage over the last two decades, as the substantial growth in wives labour market participation and the slight increase in their RPP coverage only partially offset a substantial decline in husbands coverage. On average, retirement savings of families rose over the last two decades, but the distribution became more unequal. To a large extent, the uneven growth in retirement savings mirrors the sharp increase in family earnings inequality since the early 1980s.
Release date: 2007-12-19 - 3. Income Instability of Lone Parents, Singles and Two-Parent Families in Canada, 1984 to 2004 ArchivedArticles and reports: 11F0019M2007297Geography: CanadaDescription:
This paper examines income instability of lone parents, singles and two-parent families in Canada in the past two decades using tax data. We attempt to answer the following questions: Has there been a widespread increase in earnings instability among lone parents (especially lone mothers) and unattached individuals over the past 20 years? How do the trends in earnings instability among lone parents and unattached individuals compare to the trends among the two-parent families? What is the role of government transfers and the progressive tax system in mitigating differences in earnings instability across different segments of the earnings distribution among the above-mentioned groups? We find little evidence of a widespread increase in earnings instability in the past two decades and show that government transfers play a particularly important role in reducing employment income instability of lone mothers and unattached individuals.
Release date: 2007-03-29 - 4. Earnings instability ArchivedArticles and reports: 75-001-X200611013172Geography: CanadaDescription:
Using tax data, this paper examines earnings instability among lone parents, unattached individuals, and two-parent families over the past two decades. When income tax effects and main sources of income were considered, no strong evidence of a widespread increase in instability was found. Government transfers play a particularly important role in reducing the earnings instability of lone mothers and unattached individuals
Release date: 2006-12-20 - Articles and reports: 11F0019M2006286Geography: CanadaDescription:
We analyze the degree to which Canadian families are covered by private pension plans and document how their savings for retirement (made through contributions to tax-assisted retirement savings programs) have evolved over the last two decades. We find that two-parent families, lone-parent families and other individuals located in the bottom quintile of the earnings distribution are not better prepared for retirement than their counterparts were in the mid-1980s or the early 1990s. On the other hand, those located in the top quintile are better prepared than their counterparts were in the mid-1980s or the early 1990s. As a result, Canadian families' preparedness for retirement, which was fairly unequal in the mid-1980s, has become even more unequal over the last two decades. This finding has important implications for the future. Recent research has shown that the maturation of the Canada and Quebec Pension Plans (C/QPPs) has led to a substantial reduction in income inequality among the elderly between the early 1980s and the mid-1990s. In the absence of offsetting trends, the growing inequality in Canadian families preparedness for retirement implies that that the distribution of family income among seniors should become more unequal in the years to come.
Release date: 2006-09-26 - 6. The Instability of Family Earnings and Family Income in Canada, 1986 to 1991 and 1996 to 2001 ArchivedArticles and reports: 11F0019M2005265Geography: CanadaDescription:
We investigate how family earnings instability has evolved between the late 1980s and the late 1990s and how family income instability varies across segments of the (family-level) earnings distribution. We uncover four key patterns. First, among the subset of families who were intact over the 1982-1991 and 1992-2001 periods, family earnings instability changed little between the late 1980s and the late 1990s. Second, the dispersion of families' permanent earnings became much more unequal during that period. Third, families who were in the bottom tertile of the (age-specific) earnings distribution in 1992-1995 had, during the 1996-2001 period, much more unstable market income than their counterparts in the top tertile. Fourth, among families with husbands aged under 45, the tax and transfer system has, during the 1996-2001 period, eliminated at least two-thirds (and up to all) of the differences in instability (measured in terms of proportional income gains/losses) in family market income that were observed during that period between families in the bottom tertile and those in the top tertile. This finding highlights the key stabilization role played by the tax and transfer system, a feature that has received relatively little attention during the 1990s when Employment Insurance (EI) (formerly known as Unemployment Insurance (UI)) and Social Assistance were reformed.
Release date: 2005-11-02 - 7. Summary Of: The Instability of Family Earnings and Family Income in Canada, 1986 to 1991 and 1996 to 2001 ArchivedArticles and reports: 11F0019M2005266Geography: CanadaDescription:
This article summarizes findings from the research paper entitled: The Instability of Family Earnings and Family Income in Canada, 1986 to 1991 and 1996 to 2001. Despite its implications for family well-being, little attention has been paid to the analysis of earnings instability in the context of the family versus the earnings profiles of individuals. While a focus on individuals is important, the extent to which families can generate stable income flows from the labour market is a key concern for policymakers. Therefore, using data from Statistics Canada's Longitudinal Administrative Databank (LAD), this study documents how family earnings instability has evolved between two six-year periods: 1986-1991 and 1996-2001. We also examine how husbands' earnings instability compares to couples' earnings instability, and we compute measures of instability based on family earnings, family market income, and family income before and after tax. This allows us to examine the extent to which wives' earnings reduce the volatility of husbands' employment income; the extent to which the tax and transfer system plays a stabilization role; and the extent to which wives' earnings, taxes, and transfers reduce the differences in instability between couples in the bottom of the earnings distribution and those in the top.
Release date: 2005-11-02 - Articles and reports: 11F0019M2004232Geography: CanadaDescription:
This study extends previous work on the evolution of the education premium, and investigates the existence of diverging university/high school earnings ratio trends across industries in the knowledge-based economy. The study also discusses the changing demand for high-skilled workers by comparing relative wages of university graduates holding degrees in "applied" fields to those of other university graduates (the "field" premium).
Release date: 2004-09-29
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