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Purchased Child Care, Optimal Family Size and Mother's Employment

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Ermisch, John F

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Abstract

The paper develops a model of family size decisions in which couples choose explicitly a combination of mother's time and purchased child care (e.g. childminders, nannies) for the care and rearing of children. The theoretical model implies that the impact of the mother's wage on her completed fertility varies with the market price of child care, and that this effect increases (becoming less negative or more positive) with the level of her wage. Econometric analysis of British micro-data confirms the main predictions of the model.

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Publisher Info
Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 238.

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Date of creation: Mar 1988
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Handle: RePEc:cpr:ceprdp:238

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Related research
Keywords: Children; Fertility; Labour Supply; Working Women;

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  1. Øystein Kravdal, 2001. "The High Fertility of College Educated Women in Norway," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 5(6), pages 187-216, December. [Downloadable!]
  2. Annette Kohlmann, 2002. "Fertility intentions in a cross-cultural view: the value of children reconsidered," MPIDR Working Papers WP-2002-002, Max Planck Institute for Demographic Research, Rostock, Germany. [Downloadable!]
  3. Weber, Andrea Maria & Lauer, Charlotte, 2003. "Employment of Mothers After Childbirth : French-German Comparison," ZEW Discussion Papers 03-50, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research. [Downloadable!]
    Other versions:
  4. Kravdal,O., 2001. "The high fertility of college educated women in Norway : an artefact of the 'piecemeal approach'," Memorandum 22/2001, Oslo University, Department of Economics. [Downloadable!]
  5. Katja Köppen, 2006. "Second births in western Germany and France," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 14(14), pages 295-330, April. [Downloadable!]
  6. Tom Kornstad and Thor O. Thoresen, 2002. "A Discrete Choice Model for Labor Supply and Child Care," Discussion Papers 315, Research Department of Statistics Norway. [Downloadable!]
  7. Namkee Ahn & Pedro Mira, . "A note on the changing relationship between fertility and female employment rates in developed countries," Studies on the Spanish Economy 13, FEDEA. [Downloadable!]
    Other versions:
  8. Mörk, Eva & Sjögren, Anna & Svalelryd, Helena, 2008. "Cheaper child care, more children," Working Paper Series 2008:29, IFAU - Institute for Labour Market Policy Evaluation. [Downloadable!]
    Other versions:
  9. Maria Gutiérrez-Domènech, 2008. "The impact of the labour market on the timing of marriage and births in Spain," Journal of Population Economics, Springer, vol. 21(1), pages 83-110, January. [Downloadable!] (restricted)
  10. Tomas Kögel, 2006. "An explanation of the positive correlation between fertility and female employment across Western European countries," Discussion Paper Series 2006_11, Department of Economics, Loughborough University. [Downloadable!]
  11. Tom Kornstad & Thor Thoresen, 2007. "A discrete choice model for labor supply and childcare," Journal of Population Economics, Springer, vol. 20(4), pages 781-803, October. [Downloadable!] (restricted)
  12. Cordula Zabel, 2006. "Employment experience and first birth in Great Britain," MPIDR Working Papers WP-2006-029, Max Planck Institute for Demographic Research, Rostock, Germany. [Downloadable!]
  13. Lundholm, Michael & Ohlsson, Henry, 1998. "Who Takes Care of the Children? The quantity–quality model revisited," Working Paper Series 1998:23, Uppsala University, Department of Economics. [Downloadable!]
    Other versions:
  14. Tomas Kögel, 2006. "Swedish Family Policy, Fertility and Female Wages," Discussion Paper Series 2006_7, Department of Economics, Loughborough University. [Downloadable!]
  15. Cigno, Alessandro & Pettini, Anna, 1999. "Taxing Family Size and Subsidising Child-specific Commodities? Optimal Fiscal Treatment of Households with Endogenous Fertility," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
  16. Louise Grogan, 2006. "An Economic Examination of the Post-Transition Fertility Decline in Russia," Post-Communist Economies, Taylor and Francis Journals, vol. 18(4), pages 363-397, December. [Downloadable!] (restricted)
  17. Katja Köppen, 2004. "The compatibility between work and family life – an empirical study of second birth risks in West Germany and France," MPIDR Working Papers WP-2004-015, Max Planck Institute for Demographic Research, Rostock, Germany. [Downloadable!]
  18. Grogan, L., 2002. "What Caused the Post-Transition Fertility Decline in Central and Eastern Europe and the Former Soviet Union?," Working Papers 2002-5, University of Guelph, Department of Economics. [Downloadable!]
  19. Iulie Aslaksen, Charlotte Koren, Marianne Stokstad, 2000. "The Effect of Child Care Subsidies: A Critique of the Rosen Model," Feminist Economics, Taylor and Francis Journals, vol. 6(1), pages 95-103, March. [Downloadable!] (restricted)
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