Welfare rules,business cycles,and employment dynamics among lone parents in Norway

How lone parents combine work and welfare in earning a living has long inspired discussion. Yet little is known of their actual labor market attachment, either over calendar time or during individual lifetimes. In this article we address both issues, first by studying Norwegian Labor Force Surveys to illuminate the labor force participation of lone parents during the last two decades and by comparing the trends revealed with similar developments among married and cohabiting parents. Next, we analyze individual labor market transitions, using longitudinal data from administrative registers. The analyses demonstrate large differences in the labor market behaviors of single and nonsingle parents in Norway, even when controlling for differences in human capital and care responsibilities. Shifting labor demand and welfare reforms that prioritize paid work have both affected the employment of lone parents, but favorable economic conditions seem to have played a larger role than stringent social policies in increasing their employment activity.