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Testing the Children Quantity-Quality Trade-Off in India

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  • Kumar, Santosh
  • Kugler, Adriana

Abstract

Using data from a representative sample from India, we test the empirical validity of Quantity-Quality tarde-off model of Becker and Lewis (1973). To address the endogeneity arising from the joint determination of quantity and quality of children by parents, we instrument the family size by sex of the first child. We find a negative relationship between family size and children's educational attainment, even after controlling for parent's characteristics and birth order of children. The effects are heterogeneous. The trade-o is more pronounced in rural areas, for low-caste children, for illiterate mothers, and for children belonging to low wealth category. Overall, the findings support the quantity-quality trade-o in a resource poor setting such as India. Given that for long-run economic development, the quality of human capital is equally important, policymakers should invest more in education and other welfare programs in order to mitigate the adverse impacts of the trade-off.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 42487.

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Date of creation: 01 Sep 2011
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Handle: RePEc:pra:mprapa:42487

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Keywords: Quantity-quality tradeoff; Family size; Education; India;

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References

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  1. Julio Cáceres-Delpiano, 2006. "The Impacts of Family Size on Investment in Child Quality," Journal of Human Resources, University of Wisconsin Press, vol. 41(4).
  2. Peter J. Glick & Alessandra Marini & David E. Sahn, 2007. "Estimating the Consequences of Unintended Fertility for Child Health and Education in Romania: An Analysis Using Twins Data," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 69(5), pages 667-691, October.
  3. Galor, Oded & Moav, Omer, 2001. "Natural Selection and the Origin of Economic Growth," CEPR Discussion Papers 2727, C.E.P.R. Discussion Papers.
  4. Joshua Angrist & Victor Lavy & Analia Schlosser, 2010. "Multiple Experiments for the Causal Link between the Quantity and Quality of Children," Journal of Labor Economics, University of Chicago Press, vol. 28(4), pages 773-824, October.
  5. Goux, Dominique & Maurin, Eric, 2003. "The Effects of Overcrowded Housing on Children's Performance at School," CEPR Discussion Papers 3818, C.E.P.R. Discussion Papers.
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Cited by:
  1. Christelle Dumas & Arnaud Lefranc, 2013. ""Sex in marriage is a divine gift": For whom ? Evidence from the Manila contraceptive ban," Working Papers hal-00867874, HAL.

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