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Playing The Fertility Game At Work: An Equilibrium Model Of Peer Effects

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  • Federico Ciliberto
  • Amalia R. Miller
  • Helena Skyt Nielsen
  • Marianne Simonsen

Abstract

We study workplace peer effects in fertility decisions using a game theory model of strategic interactions among coworkers that allows for multiple equilibria. Using register‐based data on fertile‐aged women working in medium‐sized establishments in Denmark, we uncover negative average peer effects. Allowing for heterogeneous effects by worker type, we find that positive effects dominate across worker types defined by age or education. Negative effects dominate within age groups and among low‐education types. Policy simulations show that these estimated effects make the distribution of where women work an important consideration, beyond simply if they work, in predicting population fertility.

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  • Federico Ciliberto & Amalia R. Miller & Helena Skyt Nielsen & Marianne Simonsen, 2016. "Playing The Fertility Game At Work: An Equilibrium Model Of Peer Effects," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 57(3), pages 827-856, August.
  • Handle: RePEc:wly:iecrev:v:57:y:2016:i:3:p:827-856
    DOI: 10.1111/iere.12177
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    2. Doepke, Matthias & Hannusch, Anne & Kindermann, Fabian & Tertilt, Michèle, 2022. "The Economics of Fertility: A New Era," IZA Discussion Papers 15224, Institute of Labor Economics (IZA).
    3. Maria K. Humlum & Jannie H.G. Kristoffersen & Rune Vejlin, 2012. "Timing of College Enrollment and Family Formation Decisions," Economics Working Papers 2012-01, Department of Economics and Business Economics, Aarhus University.
    4. Brenøe, Anne Ardila & Canaan, Serena & Harmon, Nikolaj & Royer, Heather, 2019. "Is Parental Leave Costly for Firms and Coworkers?," IZA Discussion Papers 12870, Institute of Labor Economics (IZA).
    5. Astrid Kunze & Amalia R. Miller, 2017. "Women Helping Women? Evidence from Private Sector Data on Workplace Hierarchies," The Review of Economics and Statistics, MIT Press, vol. 99(5), pages 769-775, December.
    6. Ritika Sethi, 2022. "Can Desegregation Close the Racial Gap in High School Coursework?," Papers 2208.12321, arXiv.org, revised Jul 2023.
    7. Ciliberto, Federico & Jäkel, Ina C., 2021. "Superstar exporters: An empirical investigation of strategic interactions in Danish export markets," Journal of International Economics, Elsevier, vol. 129(C).
    8. Ankita Mishra & Jaai Parasnis, 2017. "Peers and Fertility Preferences: An Empirical Investigation of the Role of Neighbours, Religion and Education," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 134(1), pages 339-357, October.
    9. Fitzenberger, Bernd & Sommerfeld, Katrin & Steffes, Susanne, 2013. "Causal effects on employment after first birth — A dynamic treatment approach," Labour Economics, Elsevier, vol. 25(C), pages 49-62.
    10. Pauline Rossi & Yun Xiao, 2020. "Spillovers in Childbearing Decisions and Fertility Transitions: Evidence from China," Tinbergen Institute Discussion Papers 20-031/V, Tinbergen Institute.
    11. Ankita Mishra & Jaai Parasnis, 2014. "An Empirical Investigation of Peer effects on Fertility Preferences," Monash Economics Working Papers 34-14, Monash University, Department of Economics.
    12. Yoosik Youm & Byungkyu Lee, 2016. "A network approach to economic models of fertility," Rationality and Society, , vol. 28(4), pages 386-409, November.
    13. Abhishek Kumar & Valeria Bordone & Raya Muttarak, 2016. "Like Mother(-in-Law) Like Daughter? Influence of the Older Generation’s Fertility Behaviours on Women’s Desired Family Size in Bihar, India," European Journal of Population, Springer;European Association for Population Studies, vol. 32(5), pages 629-660, December.

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    JEL classification:

    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth

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