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The Easterlin hypothesis in the recent experience of higher-income OECD countries: A panel-data approach

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  • Yongil Jeon
  • Michael P. Shields

Abstract

The Easterlin hypothesis emphasizes the effect of relative cohort size on fertility. Models based on the Easterlin hypothesis have performed well in explaining time series fertility data, although these results have been for long historical time series and have typically been restricted to single country studies. These models are not adequate to determine if the hypothesis still holds and if the success of the Easterlin hypothesis is an artifact of the time period chosen. We use panel data analysis and temporal causality tests to see of the Easterlin hypothesis holds for higher-income OECD countries. The results support the Easterlin hypothesis. Copyright Springer-Verlag 2005

Suggested Citation

  • Yongil Jeon & Michael P. Shields, 2005. "The Easterlin hypothesis in the recent experience of higher-income OECD countries: A panel-data approach," Journal of Population Economics, Springer;European Society for Population Economics, vol. 18(1), pages 1-13, August.
    • Handle: RePEc:spr:jopoec:v:18:y:2005:i:1:p:1-13
    DOI: 10.1007/s00148-004-0190-5
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    Citations

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    Cited by:

    1. Jeon, Yongil & Shields, Michael P., 2008. "The Impact of Relative Cohort Size on U.S. Fertility, 1913-2001," IZA Discussion Papers 3587, Institute of Labor Economics (IZA).
    2. Macunovich, Diane J., 2011. "Re-Visiting the Easterlin Hypothesis: U.S. Fertility 1968-2010," IZA Discussion Papers 5885, Institute of Labor Economics (IZA).
    3. Ponthiere, Gregory, 2011. "Existence and stability of overconsumption equilibria," Economic Modelling, Elsevier, vol. 28(1), pages 74-90.
    4. Thomas Gries & Rainer Grundmann, 2014. "Trade and fertility in the developing world: the impact of trade and trade structure," Journal of Population Economics, Springer;European Society for Population Economics, vol. 27(4), pages 1165-1186, October.
    5. Sander Wagner & Olivier Thévenon, 2017. "The Evolution of Within- and Cross-Country Differences in the Transition to Adulthood: A New Perspective," Working Papers 2017-04, Center for Research in Economics and Statistics.
    6. Ralph Lattimore & Clinton Pobke, 2008. "Recent Trends in Australian Fertility," Staff Working Papers 0806, Productivity Commission, Government of Australia.
    7. Gholipour, Hassan F. & Farzanegan, Mohammad Reza, 2015. "Marriage crisis and housing costs: Empirical evidence from provinces of Iran," Journal of Policy Modeling, Elsevier, vol. 37(1), pages 107-123.
    8. Linlan Xiao & Michael Shields, 2014. "Relative Cohort Size and Fertility in Latin America and the Caribbean: A Panel Data Approach," Research in World Economy, Research in World Economy, Sciedu Press, vol. 5(2), pages 135-142, September.
    9. Robert Lucas & Sari Kerr, 2013. "Intergenerational income immobility in Finland: contrasting roles for parental earnings and family income," Journal of Population Economics, Springer;European Society for Population Economics, vol. 26(3), pages 1057-1094, July.
    10. Aude Bernard & Martin Bell & Elin Charles-Edwards, 2014. "Life-Course Transitions and the Age Profile of Internal Migration," Population and Development Review, The Population Council, Inc., vol. 40(2), pages 213-239, June.
    11. Yongil Jeon & Sang-Young Rhyu & Michael P. Shields, 2007. "Asian Demographic Transition: An Instrumental-Variables Panel Approach," Monash Economics Working Papers 28-07, Monash University, Department of Economics.
    12. Anna E. Shaleva, 2019. "Does Culture Affect Fertility in Europe?," Economics Bulletin, AccessEcon, vol. 39(3), pages 2078-2090.
    13. Aude Bernard & Martin Bell & Elin Charles-Edwards, 2016. "Internal migration age patterns and the transition to adulthood: Australia and Great Britain compared," Journal of Population Research, Springer, vol. 33(2), pages 123-146, June.
    14. Stuart Basten & Georgia Verropoulou, 2015. "A Re-Interpretation of the ‘Two-child Norm’ in Post-Transitional Demographic Systems: Fertility Intentions in Taiwan," PLOS ONE, Public Library of Science, vol. 10(8), pages 1-16, August.

    More about this item

    Keywords

    J1; C23; Cohort; fertility; panel;
    All these keywords.

    JEL classification:

    • J1 - Labor and Demographic Economics - - Demographic Economics
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models

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