Abstract
Fertility and per capita income are now positively associated across most high income OECD countries. Low fertility and a gender wage gap persist in Japan. This paper presents a model where endogenous increases in the price of child-care and gender equity in the allocation of capital play important roles in the effect of per capita income growth and rising female relative wages on fertility. Results indicate that a positive relationship between fertility and per capita income is not robust: overall fertility rises with female relative wages if child-care productivity is sufficiently high; female relative wages may not rise with per capita income if men work with increasing capital relative to women.
Original language | English |
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Pages (from-to) | 88-99 |
Journal | Economic Record |
Volume | 88 |
Issue number | SUPPL.1 |
DOIs | |
Publication status | Published - 2012 |