Abstract
We develop a novel model of fertility choice predicting an increase and subsequent decrease in fertility levels without introducing a quality–quantity tradeoff, mortality changes, or urbanization. The model highlights the roles of a subsistence constraint and non-wage income deriving from the ownership of land. We show that the sign of the effect of the wage rate on fertility depends on whether non-wage income is greater or less than a minimum consumption level. Suggestive evidence supporting the model, on changes in fertility from 1851 to 1891 across French départements, is provided. Finally, we embed our static model in a model of endogenous growth, and provide a numerical illustration of the working of the model.
Original language | English |
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Pages (from-to) | 1017-1036 |
Number of pages | 20 |
Journal | Review of Economics of the Household |
Volume | 15 |
Issue number | 3 |
DOIs | |
State | Published - 1 Sep 2017 |
Bibliographical note
Publisher Copyright:© 2015, Springer Science+Business Media New York.
Keywords
- Demographic transition
- Fertility decline
- Land ownership
- New household economics
- Subsistence constraint