This paper investigates the effect of earnings and employment opportunities on pre-marital fertility. Using data from a sample of British women born in 1970, we estimate an independent competing risk harzard model of fertility and cohabitation decisions. Our results show that individual earnings opportunities are negatively related to pre-marital fertility but do not affect union formation. Local male unemployment, on the contrary, is a positive determinant of single motherhood and a negative factor in cohabitation decisions. The latter result is consistent with the Wilson hypothesis as it shows the existence of a direct effect of male joblessness on co-residential relationships.
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Paper provided by University of Oxford, Department of Economics in its series Economics Series Working Papers with number
202.
Find related papers by JEL classification: J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis
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