Economic Situation, Financial Strain and Child Wellbeing in Stepfamilies and Single-Parent Families in Germany

Abstract

The aim of this paper is to identify predictors of financial strain and to clarify the importance of family type and income, as well as the effects of financial strain, on child wellbeing. We consider family structure by looking at nuclear families, stepfamilies and single-parent families. We also examine family complexity by considering the status of a child, e.g., a common child in a nuclear family, a stepchild, or common child in a stepfamily. Applying the Family Stress Model (FSM; Conger et al. 1990), we address the following issues: what family types are more financially burdened and rate themselves as being financially strained? How is child behavior affected by financial strain, and which type of child is affected most? The data that we use are from the survey “Growing up in Germany”: AID:A II wave (2013–2015); our sample consists of 12,561 children, and the method that we apply is ordered probit models. Our results clearly suggest that single-parent families and stepfamilies are more vulnerable to be below the poverty threshold. Regarding our second set of analyses, the results suggest that stepchildren and children in single-parent families are more at risk for problem behavior than are children in nuclear families. Moreover, both groups experience financial strain.