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Fertility and R&D-based Growth: The Role of Higher Education

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  • Quang-Thanh Tran

    (Development and Policies Research Center (DEPOCEN), Suite 305 - 307, 12 Trang Thi Street, Hoan Kiem, Hanoi)

Abstract

This paper studies how higher education incentives affect fertility decisions and influence long-term economic growth using an R&D-based growth overlapping-generations model with endogenous education/career choice. In this model, higher education plays a dual role – it increases earnings for skilled labor and technological progress but also discourages childbearing. When the fertility of skilled workers is sufficiently low, too many higher education pursuers may lead to a long-run secular stagnation where technology and population remain constant or even a persistent population decline. To avoid these scenarios, regulating access to higher education may be necessary, although it could impose welfare loss on some generations following the policy’s introduction.

Suggested Citation

  • Quang-Thanh Tran, 2025. "Fertility and R&D-based Growth: The Role of Higher Education," Working Papers 198, Development and Policies Research Center (DEPOCEN), Vietnam.
    • Handle: RePEc:dpc:wpaper:0198
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    Keywords

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    JEL classification:

    • E13 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Neoclassical
    • J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends, Macroeconomic Effects, and Forecasts
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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