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Measuring the Value of Children by Sex and Age Using a Dynamic Programming Model

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  • Ahn, Namkee

Abstract

One of the important determinants of fertility is the value of children as perceived by parents. This paper estimates gender- and age-specific values of children using a dynamic programming model. Findings from the Korean data indicate that children impose net costs when young and net benefits when old. Both the early costs and the later benefits are larger for male children than female children, and for better-educated women than lower-educated women. Simulation studies that use estimated values of children suggest that a decrease in the costs of abortion and prenatal gender-screening tests may raise the male-birth ratio through gender-selective abortions. Copyright 1995 by The Review of Economic Studies Limited.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Review of Economic Studies.

Volume (Year): 62 (1995)
Issue (Month): 3 (July)
Pages: 361-79

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Handle: RePEc:bla:restud:v:62:y:1995:i:3:p:361-79

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Cited by:
  1. Aguirregabiria, Victor & Mira, Pedro, 2010. "Dynamic discrete choice structural models: A survey," Journal of Econometrics, Elsevier, vol. 156(1), pages 38-67, May.
  2. Atsuko Ueda, 2000. "A Dynamic Decision Model of Marriage, Childbearing, and Labor Force Participation of Women in Japan," Labor and Demography 0004007, EconWPA.
  3. Juan Pantano & Qi Li, 2013. "The Demographic Consequences of Gender Selection Technology," 2013 Meeting Papers 1161, Society for Economic Dynamics.
  4. Ueda, Atsuko, 2008. "Dynamic model of childbearing and labor force participation of married women: Empirical evidence from Korea and Japan," Journal of Asian Economics, Elsevier, vol. 19(2), pages 170-180, April.
  5. Pedro Mira & Jes�s M. Carro, 2006. "A dynamic model of contraceptive choice of Spanish couples," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 21(7), pages 955-980.
  6. Emilia Del Bono, 2001. "Estimating Fertility Responses to Expectations: Evidence From the 1958 British Cohort," Economics Series Working Papers 80, University of Oxford, Department of Economics.
  7. Yasuyuki Sawada & Michael Lokshin, 2007. "Obstacles to School Progression in Rural Pakistan: An Analysis of Gender and Sibling Rivalry Using Field Survey Data," CIRJE F-Series CIRJE-F-484, CIRJE, Faculty of Economics, University of Tokyo.
  8. Koolwal, Gayatri B., 2007. "Son Preference and Child Labor in Nepal: The Household Impact of Sending Girls to Work," World Development, Elsevier, vol. 35(5), pages 881-903, May.
  9. Kasahara, Hiroyuki & Shimotsu, Katsumi, 2008. "Pseudo-likelihood estimation and bootstrap inference for structural discrete Markov decision models," Journal of Econometrics, Elsevier, vol. 146(1), pages 92-106, September.
  10. Wataru Kureishi & Midori Wakabayashi, 2011. "Son preference in Japan," Journal of Population Economics, Springer, vol. 24(3), pages 873-893, July.
  11. N. Picard-Tortorici, 2000. "An Original Framework for Studying Dynamic Fertility Models," THEMA Working Papers 2000-05, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
  12. Sawada, Yasayuki & Lokshin, Michael, 2001. "Household schooling decisions in rural Pakistan," Policy Research Working Paper Series 2541, The World Bank.

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