Unemployment has profound implications for individuals and societies. The impact of micro- (i.e., parental) and macro-level (i.e., local, regional, or national) unemployment on children's education and career outcomes is particularly relevant, as detrimental effects may perpetuate a vicious cycle, with unemployment causing more unemployment. Furthermore, the role of gender is not sufficiently elucidated in this context. This systematic review summarizes studies conducted from 1979 to 2024 worldwide across economics, sociology, psychology, education sciences, and public health, adopting an integrative, multidisciplinary approach. Furthermore, we coded gender effects (i.e., maternal vs. paternal unemployment; education and career outcomes measured in girls and boys).
Key findings reveal that micro-level unemployment adversely affects children's education and career outcomes, whereas macro-level unemployment appears to have both beneficial and detrimental effects. In terms of gendered effects, we found a beneficial effect of macro-level unemployment on the participation in post-compulsory schooling, particularly in boys. Further, the detrimental effect of maternal unemployment on children's adult unemployment seems stronger than paternal micro-level unemployment.
Our results underscore the importance of probing homology (i.e., whether macro- and micro-level effects go in the same direction) when assessing unemployment's impact on children's education and careers, as this study shows that effects on the micro- and macro-level are not necessarily the same. Furthermore, our review highlights that the gender of the parent and child can be an important boundary condition in this context.
Future research should focus on investigating mediating mechanisms of these gendered effects. Additionally, we need more research on the topic from countries that are not Western, educated, industrialized, rich, and democratic (WEIRD). We provide recommendations for parental and professional caregivers, teachers and principals, as well as decision-makers in politics and organizations.