Long-term unemployment among older workers is particularly difficult to overcome. We study the impacts of a large-scale job guarantee program that offered up to two years of fully subsidized employment to long-term unemployed individuals aged 50 and above. Using a sharp age-based discontinuity in eligibility, we find that participation increased regular, unsubsidized employment by 43 percentage points two years after the program ended. The gains are driven by transitions into new firms and industries, rather than continued subsidized employment, and we find no evidence of displacement effects for non-participants or spillovers to family members. The program had no measurable short-run health effects.

We estimate the impact of parental health on adult children's labor market outcomes. We focus on health shocks which increase care dependency abruptly. Our estimation strategy exploits the variation in the timing of shocks across treated families. Empirical results based on Austrian administrative data show a significant negative impact on labor market activities of children. This effect is more pronounced for daughters and for children who live close to their parents. Further analyses suggest informal caregiving as the most likely mechanism. The effect is muted after a liberalization of the formal care market, which sharply increased the supply of foreign care workers.

Overall, income inequality in Austria is moderate and has been stable in recent years. However, a look at employment statistics reveals important inequality trends in the labour market. This paper highlights five important shifts in the composition of the labour force: (i) a massive increase in female labour force participation; (ii) large shifts in the distribution of education; (iii) trends towards part-time work among women as well as men; (iv) persistent gender gaps in market and non-market work of parents; and (v) an increase in labour migration with a substantial share of cross-border commuters.

Numerous papers report a negative association between parental divorce and child outcomes. To provide evidence whether this correlation is driven by a causal effect, we exploit idiosyncratic variation in the extent of sexual integration in fathers' workplaces: Fathers who encounter more women in their relevant age-occupation-group on-the-job are more likely to divorce. This results holds also conditioning on the overall share of female co-workers in a firm.We find that parental divorce has persistent, and mostly negative, effects on children that differ significantly between boys and girls. Treated boys have lower levels of educational attainment, worse labor market outcomes, and are more likely to die early. Treated girls have also lower levels of educational attainment, but they are also more likely to become mother at an early age (especially during teenage years). Treated girls experience almost no negative employment effects. The latter effect could be a direct consequence from the teenage motherhood, which may initiate an early entry to the labor market.

Using Austrian and Danish administrative data, we examine the impacts of parenthood on mental health. Parenthood imposes a greater mental health burden on mothers than on fathers. It creates a long-run gender gap in antidepressant prescriptions of about 93.2% (Austria) and 64.8% (Denmark). These parenthood penalties in mental health are unlikely to reflect differential help-seeking behavior across the sexes or postpartum depression. Instead, they are related to mothers’ higher investments in childcare: Mothers who take extended maternity leave in quasi-experimental settings are more likely to face mental health problems.

Social distancing is important to slow the community spread of infectious disease, but it creates enormous economic and social cost. Thus, it is important to quantify the benefits of different measures. We study the ban of mass gatherings, an intervention with comparably low cost. We exploit exogenous variation in the number of National Basketball Association and National Hockey League games, which arises due to the leagues' predetermined schedules, and the sudden suspension of the 2019–2020 seasons. We find that, among clusters of counties that are adjacent to sports venues, each additional mass gathering increased the cumulative number of COVID-19 deaths by 10.3%. © 2023 The Authors. Contemporary Economic Policy published by Wiley Periodicals LLC on behalf of Western Economic Association International.

We show that the exposure to war-related violence increases the quantity of children temporarily, with permanent negative consequences for the quality of the current and previous cohorts. Our empirical evidence is based on Nepal, which experienced a 10 year long civil conflict of varying intensity. We exploit that villages affected by the conflict had the same trend in fertility as non-affected villages prior to the onset of conflict and employ a difference-in-differences estimator. We find that women in affected villages increased their fertility during the conflict by 19%, while child height-for-age declined by 10%. Supporting evidence suggests that the temporary fertility increase was the main pathway leading to reduced child height, as opposed to direct impacts of the conflict.

To address the opioid crisis, it is crucial to understand its origins. We provide descriptive evidence for the intergenerational persistence of opioid dependence. Our analysis is based on administrative data covering the universe of Austrian births from 1984 to 1990. We consider prescription opioids and a new proxy for addiction to illicit opioids. We find that, if at least one parent is using illicit opioids, the likelihood of the child using increases from 1% to 7%. For prescription opioids, we observe an increase from 3.6% to 6.7%. Both associations are stable and do not change when controlling for environmental variables.

To test for ethnic discrimination in access to outpatient health care services, we carry out an email-correspondence study in Germany. We approach 3,224 physician offices in the 79 largest cities in Germany with fictitious appointment requests and randomized patients’ characteristics. We find that patients’ ethnicity, as signaled by distinct Turkish versus German names, does not affect whether they receive an appointment or wait time. In contrast, patients with private insurance are 31 percent more likely to receive an appointment. Holding a private insurance also increases the likelihood of receiving a response and reduces the wait time. This suggests that physicians use leeway to prioritize privately insured patients to enhance their earnings, but they do not discriminate persons of Turkish origin based on taste. Still, their behavior creates means-based barriers for economically disadvantaged groups.

With regard to their future health, adolescents are at a critical stage. Previous evaluations have shown that health screenings, counseling, and other intervention programs during this phase of life are important, particularly for those with a low socioeconomic background. Unfortunately, adolescents tend to have little interest in preventive programs. We designed a field experiment to evaluate the effectiveness of financial incentives to promote participation in health screenings. Our study comprises more than 10,000 participants, observed via high-quality administrative data from Austria. The treatment group received a €40 shopping voucher if they participated in an age-specific health screening. On average, the financial incentive increased the likelihood of participation by 280 percent. Treatment effects are comparably larger for children in families with a higher socioeconomic status, and of parents with a revealed preference for secondary health prevention.

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Low minimum legal drinking ages (MLDAs), as prevalent in many European countries, are severely understudied. We use rich survey and administrative data to estimate the impact of the Austrian MLDA of 16 on teenage drinking behavior and morbidity. Regression discontinuity estimates show that legal access to alcohol increases the frequency and intensity of drinking, which results in more hospital admissions due to alcohol intoxication. The effects are stronger for boys and teenagers with low socioeconomic background. Evidence suggests that the policy's impact cannot be fully explained by access. Data from an annual large-scale field study show that about 25 percent of retailers sell even hard liquor to underage customers. More generally, perceived access to alcohol is very high and hardly changes at the MLDA. However, teenagers consider binge drinking at weekends to be less harmful after gaining legal access.

Maternity leave policies are designed to safeguard the health of pregnant workers and their unborn children. We evaluate a maternity leave extension in Austria which increased mandatory prenatal leave from 6 to 8 weeks. We exploit that the assignment to the extended leave was determined by a cutoff date. We find no evidence for significant effects of this extension on children's health at birth or long-term health and labor market outcomes. Subsequent maternal health and fertility are also unaffected. We conclude that employment during the 33rd and 34th week of gestation is not harmful for expecting mothers (without major problems in pregnancy) and their unborn children.

We study the effectiveness of intrahousehold insurance among married couples when the husband loses his job due to a mass layoff or plant closure. Empirical results based on Austrian administrative data show that husbands suffer persistent employment and earnings losses, while wives’ labor supply increases moderately due to extensive margin responses. Wives’ earnings gains recover only a tiny fraction of the household income loss, and in the short-term, public transfers and taxes are a more important form of insurance. We show that the presence of children in the household is a crucial determinant of the wives’ labor supply response. (JEL D13, J12, J16, J22, J31, J63)

This paper explores the historical origins of the cultural norm regarding illegitimacy (formerly known as bastardy) in the context of the Habsburg Empire. We test the hypothesis that traditional agricultural production structures influenced the historical illegitimacy ratio, and have a lasting effect until today. We show that regions that focused in pre-industrial periods on animal husbandry (as compared to crop farming) had significantly higher illegitimacy ratios in the past, and female descendants of these societies are still more likely to approve illegitimacy and give birth outside of marriage today. To establish causality, we exploit for Austria, within an IV approach, variation in the local agricultural suitability, which determined the historical dominance of animal husbandry. Since differences in the agricultural production structure are completely obsolete in today’s economy, we suggest interpreting the persistence in revealed and stated preferences as a cultural norm. Complementary evidence shows that this norm is passed down through generations, and the family is the most important transmission channel. Our findings are one example for the more general phenomenon that cultural norms can be shaped by economic conditions, and may persist, even if economic conditions become irrelevant.

Despite the growing incidence of cesarean deliveries (CDs), procedure costs and benefits continue to be controversially discussed. In this study, we identify the effects of CDs on subsequent fertility and maternal labor supply by exploiting the fact that obstetricians are less likely to undertake CDs on weekends and public holidays and have a greater incentive to perform them on Fridays and days preceding public holidays. To do so, we adopt high-quality administrative data from Austria. Women giving birth on different days of the week are pre-treatment observationally identical. Our instrumental variable estimates show that a non-planned CD at parity 0 decreases lifecycle fertility by almost 13.6%. This reduction in fertility translates into a temporary increase in maternal employment.

Superstition is a widespread phenomenon. We empirically examine its impact on health-related behavior and health outcomes. We study the case of the Taiwanese Ghost month. During this period, which is believed to increase the likelihood of bad outcomes, we observe substantial adaptions in health-related behavior. Our identification exploits idiosyncratic variation in the timing of the Ghost Month across Gregorian calendar years. Using high-quality administrative data, we document for the period of the Ghost Months reductions in mortality, hospital admissions, and births. While the effect on mortality is a quantum effect, the latter two effects reflect changes in the timing of events. Efficient public health policy should account for emotional and cultural factors.

The East-West gap in the German population is believed to originate from migrants escaping the socialist regime in the German Democratic Republic (GDR). We use newly collected regional data and the combination of a regression discontinuity design in space with a difference-in-differences approach to document that the largest part of this gap is due to a massive internal migration wave 3 years prior to the establishment of the GDR. The timing and spatial pattern of this migration movement suggest that the dominant motive was escaping physical assault by the Soviet army and not avoiding the socialist regime. The skill composition of these migrants shows a strong positive selection. The gap in population has remained remarkably sharp in space and is growing.

Abstract Background In order to reduce avoidable consultations but also avoidable self-referrals to hospital outpatient departments, the Austrian authorities agreed to establish a voluntary telephone-based triage system in the course of the health reform 2013. Three regions piloted the system in early 2017. Methods An economic evaluation aimed to assess the impact on health service demand after having consulted the telephone-based system. For analysing the impact, we used the conceptual model of “shift cases” from one particular service setting such as outpatient clinic to another (e.g. GP office) and calculated savings realised through patient shifts. Based on potential savings in private and public costs and running costs of the service, we identified threshold values for cost-effective operation. Results In total, approximately 45,000 completed telephone consultations were registered in the pilot phase. 2,500 persons were advised to conduct self-care whereas more than 40,000 were recommended to contact a health service provider with differing levels of priority. Adherence to the initial recommendation of the provider setting was 70%, the level of priority was met in 90%. With regard to the economic impact, public savings of shift cases range from €31 (self-care instead of GP consultation) to €198 (GP/specialist instead of hospital outpatient clinic). Public costs ranged between €10 and €50 depending on the degree of capacity utilisation, contingency costs and duration of calls. Therefore, economic net gains can be realized if approximately 15% to 25% of callers choose a lower care setting due to the consultation service. Conclusions The tele-triage service has shown to be a potentially cost effective tool but largely depends on user uptake, patient adherence and local maintaining costs. In order to exploit the full potential of the system, policy makers are advised to promote the use of the system in general and to evaluate the used algorithm. Key messages Telephone-based triage systems are a potentially cost-effective strategy in order to reduce avoidable encounters both on a primary care level but also at hospital outpatient clinics. The public savings of a shift in the provider setting vary substantially depending on the level of service delivery with diminishing savings for shifts in lower levels.