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Variety expansion and fertility rate Author info | Abstract | Publisher info | Download info | Related research | Statistics Akiko Maruyama (Graduate School of Economics, Kwansei Gakuin University)
Kazuhiro Yamamoto () (Graduate School of Economics, Osaka University)
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To investigate how fertility rates interrelate with the modern economy, we construct a simple model in which variety expansion of consumption goods reduces fertility rates. In our model, variety expansion reduces the relative price of a composite of di?erentiated goods compared to child- rearing costs. Thus, parents raise the expenditure share for differentiated goods and lower the number of children. We show that this model can be applied to a growth model in which economic growth progresses with variety expansion of consumption goods and fertility rates decrease with economic growth. In addition, we show that international trade, which raises consumption variety, lowers fertility rates. Thus, we show a new mechanism for fertility decline, and this mechanism can be applied to growth and international trade models.
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Paper provided by Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP) in its series Discussion Papers in Economics and Business with number
07-29-Rev.
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Length: 17 pages
Date of creation: Jul 2007Date of revision:
Jan 2008Handle: RePEc:osk:wpaper:0729rContact details of provider: Email: Web page: http://www.econ.osaka-u.ac.jp/ More information through EDIRC
For technical questions regarding this item, or to correct its listing, contact: (Atsuko SUZUKI).
Keywords: Fertility rates ; Variety expansion ; Economic growth ; Interna- tional trade ; Other versions of this item:
Find related papers by JEL classification: J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth O10 - Economic Development, Technological Change, and Growth - - Economic Development - - - General F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies
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