A stochastic model of mortality, fertility, and human capital investment
AbstractThis paper examines the relationship between fertility and human capital investment, and itâs implications for economic growth, focusing on the e ects of declining mortality. Unlike the existing literature, this paper stresses the role of uncertainty about the number of surviving children. If the marginal utility of a surviving child is convex then there will be a precautionary demand for children. As the mortality rate and thus uncertainty falls, this demand decreases. Furthermore, lower mortality encourages educational investment in children. The key result is that this empirically observed quality-quantity trade o is realized only if uncertainty is incorporated into individualâs optimization problem.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Elsevier in its journal Journal of Development Economics.
Volume (Year): 70 (2003)
Issue (Month): 1 (February)
Contact details of provider:
Web page: http://www.elsevier.com/locate/devec
Other versions of this item:
- Sebnem Kalemli-Ozcan, 2002. "A Stochastic Model of Mortality, Fertility, and Human Capital Investment," Macroeconomics 0212009, EconWPA.
- O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
- I12 - Health, Education, and Welfare - - Health - - - Health Production
- J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends, Macroeconomic Effects, and Forecasts
- J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Gary S. Becker & Kevin M. Murphy & Robert Tamura, 1994.
"Human Capital, Fertility, and Economic Growth,"
in: Human Capital: A Theoretical and Empirical Analysis with Special Reference to Education (3rd Edition), pages 323-350
National Bureau of Economic Research, Inc.
- Gary S. Becker & Kevin M. Murphy & Robert F. Tamura, 1990. "Human Capital, Fertility, and Economic Growth," NBER Working Papers 3414, National Bureau of Economic Research, Inc.
- Gary S. Becker & Kevin M. Murphy & Robert Tamura, . "Human Capital, Fertility, and Economic Growth," University of Chicago - Population Research Center 90-5a, Chicago - Population Research Center.
- Ram, Rati & Schultz, Theodore W, 1979. "Life Span, Health, Savings, and Productivity," Economic Development and Cultural Change, University of Chicago Press, vol. 27(3), pages 399-421, April.
- Francine D. Blau, 1996.
"The Gender Pay Gap,"
NBER Working Papers
5664, National Bureau of Economic Research, Inc.
- Charles I. Jones, 1999.
"Was an Industrial Revolution Inevitable? Economic Growth Over the Very Long Run,"
NBER Working Papers
7375, National Bureau of Economic Research, Inc.
- Jones Charles I., 2001. "Was an Industrial Revolution Inevitable? Economic Growth Over the Very Long Run," The B.E. Journal of Macroeconomics, De Gruyter, vol. 1(2), pages 1-45, August.
- Charles I. Jones, . "Was an Industrial Revolution Inevitable? Economic Growth Over the Very Long Run," Working Papers 99008, Stanford University, Department of Economics.
- Robert J. Barro, 1996.
"Determinants of Economic Growth: A Cross-Country Empirical Study,"
NBER Working Papers
5698, National Bureau of Economic Research, Inc.
- Robert J. Barro, 1998. "Determinants of Economic Growth: A Cross-Country Empirical Study," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262522543, June.
- Dahan, Momi & Tsiddon, Daniel, 1998.
" Demographic Transition, Income Distribution, and Economic Growth,"
Journal of Economic Growth,
Springer, vol. 3(1), pages 29-52, March.
- Dahan, M & Tsiddon, D, 1996. "Demographic Transition, Income Distribution and Economic Growth," Papers 42-96, Tel Aviv - the Sackler Institute of Economic Studies.
- Sah, R.K., 1989.
"The Effects Of Mortality Changes On Fertility Choice And Individual Welfare: Some Theoretical Predictions,"
599, Yale - Economic Growth Center.
- Sah, Raaj Kumar, 1991. "The Effects of Child Mortality Changes on Fertility Choice and Parental Welfare," Journal of Political Economy, University of Chicago Press, vol. 99(3), pages 582-606, June.
- Robert Tamura, 2002.
"Human capital and economic development,"
2002-5, Federal Reserve Bank of Atlanta.
- Brezis, Elise S., 2001. "Social classes, demographic transition and economic growth," European Economic Review, Elsevier, vol. 45(4-6), pages 707-717, May.
- David N. Weil & Oded Galor, 1999.
"From Malthusian Stagnation to Modern Growth,"
American Economic Review,
American Economic Association, vol. 89(2), pages 150-154, May.
- Miles S. Kimball, 1989.
"Precautionary Saving in the Small and in the Large,"
NBER Working Papers
2848, National Bureau of Economic Research, Inc.
- Kimball, Miles S, 1990. "Precautionary Saving in the Small and in the Large," Econometrica, Econometric Society, vol. 58(1), pages 53-73, January.
- Galor, Oded & Weil, David, 1995.
"The Gender Gap, Fertility and Growth,"
CEPR Discussion Papers
1157, C.E.P.R. Discussion Papers.
- Becker, Gary S & Barro, Robert J, 1988.
"A Reformulation of the Economic Theory of Fertility,"
The Quarterly Journal of Economics,
MIT Press, vol. 103(1), pages 1-25, February.
- Gary S. Becker & Robert J. Barro, 1988. "A Reformulation of the Economic Theory of Fertility," NBER Working Papers 1793, National Bureau of Economic Research, Inc.
- Gary S. Becker & Robert J. Barro, . "A Reformulation of the Economic Theory of Fertility," University of Chicago - Population Research Center 85-11, Chicago - Population Research Center.
- Appleton Simon & Teal Francis, 2002. "Working Paper 39 - Human Capital and Economic Development," Working Paper Series 173, African Development Bank.
- Ben-Porath, Yoram, 1976. "Fertility Response to Child Mortality: Micro Data from Israel," Journal of Political Economy, University of Chicago Press, vol. 84(4), pages S163-78, August.
- Kalemli-Ozcan, Sebnem & Ryder, Harl E. & Weil, David N., 2000. "Mortality decline, human capital investment, and economic growth," Journal of Development Economics, Elsevier, vol. 62(1), pages 1-23, June.
- David N. Weil & Oded Galor, 2000. "Population, Technology, and Growth: From Malthusian Stagnation to the Demographic Transition and Beyond," American Economic Review, American Economic Association, vol. 90(4), pages 806-828, September.
- O'Hara, Donald J, 1975. "Microeconomic Aspects of the Demographic Transition," Journal of Political Economy, University of Chicago Press, vol. 83(6), pages 1203-16, December.
- Becker, Gary S, 1981. "Altruism in the Family and Selfishness in the Market Place," Economica, London School of Economics and Political Science, vol. 48(189), pages 1-15, February.
This item has more than 25 citations. To prevent cluttering this page, these citations are listed on a separate page. reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wendy Shamier).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.