Are Children "Normal"?
AbstractWe examine Becker's (1960) contention that children are "normal." For the cross section of non-Hispanic white married couples in the U.S., we show that when we restrict comparisons to similarly-educated women living in similarly-expensive locations, completed fertility is positively correlated with the husband's income. The empirical evidence is consistent with children being "normal." In an effort to show causal effects, we analyze the localized impact on fertility of the mid-1970s increase in world energy prices – an exogenous shock that substantially increased men's incomes in the Appalachian coal-mining region. Empirical evidence for that population indicates that fertility increases in men's income.
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Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5959.
Length: 47 pages
Date of creation: Sep 2011
Date of revision:
Publication status: published online in: Review of Economics and Statistics, 2012, [Accepted for Publication]
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Other versions of this item:
- J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
- J40 - Labor and Demographic Economics - - Particular Labor Markets - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-09-22 (All new papers)
- NEP-DEM-2011-09-22 (Demographic Economics)
- NEP-LAB-2011-09-22 (Labour Economics)
- NEP-URE-2011-09-22 (Urban & Real Estate Economics)
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