Childcare Availability, Fertility And Female Labor Force Participation In Japan
This paper seeks to address the problems of childcare scarcity, declining fertility rates and work-family conflict faced by the growing female labor force in Japan. Japanâ€™s total fertility rate has been declining since the 1970s and it fell below the replacement level of 1.3 in 2003. Since the 1990s, the Japanese government has implemented pro-natal policies such as childcare market deregulation, childcare centre expansion in the Angel Plan and New Angel Plan, and provision of childbirth grants. However, these policies have failed to encourage childbirth. With rising labor force participation among Japanese women, the insufficiency of existing childcare centre capacity to accommodate children of working mothers has resulted in the problem of wait-listed children. In addition, the failure of childcare centers to mitigate the conflict between womenâ€™s work and child raising duties has discouraged women from childbearing. The purpose of this study is to examine the relationship and causality between childcare availability (CA), female labor force participation rate (LFPR) and fertility (TFR) in Japan for the period 1971-2009. A bounds test approach to cointegration establishes the existence of long-run equilibrium relations between CA, TFR and LFPR. Applying the Granger causality method, our results show the absence of Granger-causality running from childcare availability to fertility among females aged 30-39. In the long run, our results show that having more children at home does not discourage the female labour force participation. In addition, we find no evidence which suggests that working women tend to have fewer children. The findings indicate that fertility decision is strongly dependent on the availability of childcare. Overall, this study suggests the importance of the Japanese childcare system in supporting female employment and fertility.
|Date of creation:||Jul 2013|
|Contact details of provider:|| Postal: Department of Economics, Monash University, Victoria 3800, Australia|
Web page: http://business.monash.edu/economics
More information through EDIRC
|Order Information:|| Web: http://www.buseco.monash.edu.au/eco/research/papers/ Email: |
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Willis, Robert J, 1987.
"What Have We Learned from the Economics of the Family?,"
American Economic Review,
American Economic Association, vol. 77(2), pages 68-81, May.
- Robert J. Willis, "undated". "What Have We Learned from the Economics of the Family?," University of Chicago - Population Research Center 87-1, Chicago - Population Research Center.
- Benjamin Cheng, 1996. "An investigation of cointegration and causality between fertility and female labour force participation," Applied Economics Letters, Taylor & Francis Journals, vol. 3(1), pages 29-32.
- Asai, Yukiko, 2015. "Parental leave reforms and the employment of new mothers: Quasi-experimental evidence from Japan," Labour Economics, Elsevier, vol. 36(C), pages 72-83.
- Yukiko Asai, 2014. "Parental Leave Reforms and the Employment of New Mothers: Quasi-experimental Evidence from Japan," ISS Discussion Paper Series (series F) f169, Institute of Social Science, The University of Tokyo.
- Cruces, Guillermo & Galiani, Sebastian, 2007. "Fertility and female labor supply in Latin America: New causal evidence," Labour Economics, Elsevier, vol. 14(3), pages 565-573, June.
- Sebastian Galiani & Guillermo Cruces, 2005. "Fertility and Female Labor Supply in Latin America: New Causal Evidence," Working Papers 84, Universidad de San Andres, Departamento de Economia, revised Jun 2007.
- Cruces, Guillermo Antonio & Galiani, Sebastián, 2006. "Fertility and female labour supply in Latin America: new causal evidence," Financiamiento para el Desarrollo 181, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
- Guillermo Cruces & Sebastian Galiani, 2005. "Fertility and Female Labor Supply in Latin America: New Causal Evidence," Labor and Demography 0511011, EconWPA.
- Pau Baizán, 2009. "Regional child care availability and fertility decisions in Spain," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 21(27), pages 803-842, December.
- Massimiliano Bratti, 2003. "Labour force participation and marital fertility of Italian women: The role of education," Journal of Population Economics, Springer;European Society for Population Economics, vol. 16(3), pages 525-554, 08.
- Massimiliano BRATTI, 2001. "Labour Force Participation and Marital Fertility of Italian Women: The Role of Education," Working Papers 154, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
- Bratti, Massimiliano, 2002. "Labour Force Participation and Marital Fertility of Italian Women: The Role of Education," Royal Economic Society Annual Conference 2002 34, Royal Economic Society.
- Ronald R. Rindfuss & David K. Guilkey & S. Philip Morgan & ØYstein Kravdal, 2010. "Child‐Care Availability and Fertility in Norway," Population and Development Review, The Population Council, Inc., vol. 36(4), pages 725-748, December.
- Maarten Van Ham & Clara H. Mulder, 2005. "Geographical Access To Childcare And Mothers' Labour-Force Participation," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 96(1), pages 63-74, 02.
- Paresh Kumar Narayan & Russell Smyth, 2006. "Female labour force participation, fertility and infant mortality in Australia: some empirical evidence from Granger causality tests," Applied Economics, Taylor & Francis Journals, vol. 38(5), pages 563-572.
- Nakamura, Jiro & Ueda, Atsuko, 1999. "On the Determinants of Career Interruption by Childbirth among Married Women in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 13(1), pages 73-89, March.
- Daniela Del Boca, 2002. "The effect of child care and part time opportunities on participation and fertility decisions in Italy," Journal of Population Economics, Springer;European Society for Population Economics, vol. 15(3), pages 549-573.
- Del Boca, Daniela, 2002. "The Effect of Child Care and Part Time Opportunities on Participation and Fertility Decisions in Italy," IZA Discussion Papers 427, Institute for the Study of Labor (IZA).
- Robert McNown & Cristobal Ridao-Cano, 2005. "A time series model of fertility and female labour supply in the UK," Applied Economics, Taylor & Francis Journals, vol. 37(5), pages 521-532.
- Paresh Kumar Narayan & Russell Smyth, 2006. "Higher Education, Real Income and Real Investment in China: Evidence From Granger Causality Tests," Education Economics, Taylor & Francis Journals, vol. 14(1), pages 107-125.
- Benjamin Cheng, 1996. "The causal relationship between African American fertility and female labor supply: Policy implications," The Review of Black Political Economy, Springer;National Economic Association, vol. 25(2), pages 77-88, December.
- M. Hashem Pesaran & Yongcheol Shin & Richard J. Smith, 2001. "Bounds testing approaches to the analysis of level relationships," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 16(3), pages 289-326.
- J.D. Vlasblom & J.J. Schippers, 2004. "Increases in Female Labour Force Participation in Europe: Similarities and Differences," Working Papers 04-12, Utrecht School of Economics.
- Mishra, Vinod & Smyth, Russell, 2010. "Female labor force participation and total fertility rates in the OECD: New evidence from panel cointegration and Granger causality testing," Journal of Economics and Business, Elsevier, vol. 62(1), pages 48-64, January.
- Benjamin Cheng, 1999. "Cointegration and causality between fertility and female labor participation in Taiwan: A multivariate approach," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 27(4), pages 422-434, December.
- Ross Stolzenberg & Linda Waite, 1984. "Local labor markets, children and labor force participation of wives," Demography, Springer;Population Association of America (PAA), vol. 21(2), pages 157-170, May.
- Karsten Hank & Michaela Kreyenfeld, 2000. "Does the availability of childcare influence the employment of mothers? Findings from western Germany," MPIDR Working Papers WP-2000-003, Max Planck Institute for Demographic Research, Rostock, Germany.
- Patricia Boling, 2008. "Demography, Culture, and Policy: Understanding Japan's Low Fertility," Population and Development Review, The Population Council, Inc., vol. 34(2), pages 307-326.
- Barro, Robert J. & Lee, Jong Wha, 2013. "A new data set of educational attainment in the world, 1950–2010," Journal of Development Economics, Elsevier, vol. 104(C), pages 184-198.
- Robert J. Barro & Jong-Wha Lee, 2010. "A New Data Set of Educational Attainment in the World, 1950-2010," NBER Working Papers 15902, National Bureau of Economic Research, Inc.
- Narayan, Paresh Kumar & Peng, Xiujian, 2007. "Japan's fertility transition: Empirical evidence from the bounds testing approach to cointegration," Japan and the World Economy, Elsevier, vol. 19(2), pages 263-278, March.
- Engle, Robert & Granger, Clive, 2015. "Co-integration and error correction: Representation, estimation, and testing," Applied Econometrics, Publishing House "SINERGIA PRESS", vol. 39(3), pages 106-135.
- Engle, Robert F & Granger, Clive W J, 1987. "Co-integration and Error Correction: Representation, Estimation, and Testing," Econometrica, Econometric Society, vol. 55(2), pages 251-276, March.
- Yanfei Zhou & Akiko Oishi, 2005. "Underlying Demand for Licensed Childcare Services in Urban Japan ," Asian Economic Journal, East Asian Economic Association, vol. 19(1), pages 103-119, 03.
- Wong, Rebeca & Levine, Ruth E, 1992. "The Effect of Household Structure on Women's Economic Activity and Fertility: Evidence from Recent Mothers in Urban Mexico," Economic Development and Cultural Change, University of Chicago Press, vol. 41(1), pages 89-102, October.
- Chris Herbst & Burt Barnow, 2008. "Close to Home: A Simultaneous Equations Model of the Relationship Between Child Care Accessibility and Female Labor Force Participation," Journal of Family and Economic Issues, Springer, vol. 29(1), pages 128-151, March.
- Paresh Kumar Narayan, 2005. "The saving and investment nexus for China: evidence from cointegration tests," Applied Economics, Taylor & Francis Journals, vol. 37(17), pages 1979-1990.
- Narayan, Paresh Kumar & Narayan, Seema, 2005. "Estimating income and price elasticities of imports for Fiji in a cointegration framework," Economic Modelling, Elsevier, vol. 22(3), pages 423-438, May.
- Kerry Richter & Chai Podhisita & Aphichat Chamratrithirong & Kusol Soonthorndhada, 1994. "The impact of child care on fertility in urban Thailand," Demography, Springer;Population Association of America (PAA), vol. 31(4), pages 651-662, November.
- J. Stycos & Robert Weller, 1967. "Female working roles and fertility," Demography, Springer;Population Association of America (PAA), vol. 4(1), pages 210-217, March.
- Michael Hout, 1978. "The determinants of marital fertility in the united states, 1968–1970: Inferences from a dynamic model," Demography, Springer;Population Association of America (PAA), vol. 15(2), pages 139-159, May.
- A. Chevalier & T. K. Viitanen, 2002. "The causality between female labour force participation and the availability of childcare," Applied Economics Letters, Taylor & Francis Journals, vol. 9(14), pages 915-918.
- Benjamin Cheng & Robert Hsu & Qiyu Chu, 1997. "The causality between fertility and female labour force participation in Japan," Applied Economics Letters, Taylor & Francis Journals, vol. 4(2), pages 113-116.
- Gary S. Becker, 1960. "An Economic Analysis of Fertility," NBER Chapters,in: Demographic and Economic Change in Developed Countries, pages 209-240 National Bureau of Economic Research, Inc.
- Hall, Alastair R, 1994. "Testing for a Unit Root in Time Series with Pretest Data-Based Model Selection," Journal of Business & Economic Statistics, American Statistical Association, vol. 12(4), pages 461-470, October.
- Johansen, Soren, 1988. "Statistical analysis of cointegration vectors," Journal of Economic Dynamics and Control, Elsevier, vol. 12(2-3), pages 231-254.
- Karen Mason & Karen Kuhlthau, 1992. "The perceived impact of child care costs on women’s labor supply and fertility," Demography, Springer;Population Association of America (PAA), vol. 29(4), pages 523-543, November. Full references (including those not matched with items on IDEAS)