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The Effect of Cognitive Skills on Fertility Timing

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  • Agustín Díaz Casanueva

Abstract

The paper studies the relationship between cognitive ability, education outcomes, wages, and fertility timing, focusing on how cognitive ability influences fertility decisions. First, the paper presents empirical evidence on the relationship between cognitive ability, early pregnancies, and pregnancy intention using NLSY79 data. Second, I build and estimate a life-cycle model to quantify the importance of cognitive ability, wages, marriage, and edu-cation outcomes on women’s fertility. To explain the data, the model needs heterogeneous contraception costs by ability, as the relation between cognitive ability with education and labor opportunities can not explain the relation of cognitive ability with fertility timing. Next, I use the model to analyze how decreasing contraception costs affect early pregnancies and women’s educational outcomes. Finally, I study the mechanism behind the decline in teen pregnancies during the ’90s.

Suggested Citation

  • Agustín Díaz Casanueva, 2023. "The Effect of Cognitive Skills on Fertility Timing," Working Papers Central Bank of Chile 1001, Central Bank of Chile.
    • Handle: RePEc:chb:bcchwp:1001
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    References listed on IDEAS

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    1. V. Joseph Hotz & Susan Williams McElroy & Seth G. Sanders, 2005. "Teenage Childbearing and Its Life Cycle Consequences: Exploiting a Natural Experiment," Journal of Human Resources, University of Wisconsin Press, vol. 40(3).
    2. Wolpin, Kenneth I, 1984. "An Estimable Dynamic Stochastic Model of Fertility and Child Mortality," Journal of Political Economy, University of Chicago Press, vol. 92(5), pages 852-874, October.
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