Abstract
Using panel data on over 300,000 Israeli women from 1999 to 2005, we exploit variation in Israel's child subsidy to identify the impact of changes in the price of a marginal child on fertility. We find a positive, statistically significant, and economically meaningful price effect on overall fertility and, consistent with Becker (1960) and Becker and Tomes (1976), a small effect of income on fertility, which is negative at low and positive at high income levels. We also find a price effect on fertility among older women, suggesting that part of the overall effect is due to a reduction in total fertility.
| Original language | English (US) |
|---|---|
| Pages (from-to) | 1-20 |
| Number of pages | 20 |
| Journal | Review of Economics and Statistics |
| Volume | 95 |
| Issue number | 1 |
| DOIs | |
| State | Published - 2013 |
ASJC Scopus subject areas
- Social Sciences (miscellaneous)
- Economics and Econometrics