Jump to ContentJump to Main Navigation
Show Summary Details
More options …

The B.E. Journal of Economic Analysis & Policy

Editor-in-Chief: Jürges, Hendrik / Ludwig, Sandra

Ed. by Auriol, Emmanuelle / Brunner, Johann / Fleck, Robert / Mastrobuoni, Giovanni / Mendola, Mariapia / Requate, Till / de Vries, Frans / Zulehner, Christine

4 Issues per year


IMPACT FACTOR 2017: 0.306
5-year IMPACT FACTOR: 0.492

CiteScore 2017: 0.50

SCImago Journal Rank (SJR) 2017: 0.414
Source Normalized Impact per Paper (SNIP) 2017: 0.531

Online
ISSN
1935-1682
See all formats and pricing
More options …
Ahead of print

Issues

Volume 6 (2006)

Volume 4 (2004)

Volume 2 (2002)

Volume 1 (2001)

Parental Transfers, Intra-household Bargaining and Fertility Decision

Emin Gahramanov / Khusrav Gaibulloev / Javed Younas
Published Online: 2018-10-12 | DOI: https://doi.org/10.1515/bejeap-2018-0118

Abstract

This paper examines the role of parental transfers on family size. We introduce a simple theoretical model of fertility decision where preferences towards children may differ between female and male spouses. Parental transfers increase both the household income and the bargaining power of the recipient spouse. Therefore, transfers from wife’s and husband’s parents may have dissimilar effects on the number of children. Our empirical result, based on a unique household-level data for Japan, supports this hypothesis. In particular, received transfers from the wife’s parents are negatively associated with the demand for children. In contrast, both received and expected transfers from the husband’s parents are positively associated with the demand for children. These results hold important policy implications.

This article offers supplementary material which is provided at the end of the article.

Keywords: family size; fertility; parental transfers; bargaining power; collective framework; quantity-quality model

JEL Classification: D10; D64; J13

References

  • Al-Qudusi, S. 1998. “The Demand for Children in Arab Countries: Evidence from Panel and Count Data Model.” Journal of Population Economics 11: 435–52.CrossrefGoogle Scholar

  • Apps, P. F., and R. Rees. 1988. “Taxation and the Household.” Journal of Public Economics 35: 355–69.CrossrefGoogle Scholar

  • Azmat, G., and L. González. 2010. “Targeting Fertility and Female Participation through the Income Tax.” Labour Economics 17: 487–502.CrossrefGoogle Scholar

  • Bar, M., M. Hazan, O. Leukhina, D. Weiss, and H. Zoabi. 2017. “Is the Market Pronatalist? Inequality, Differential Fertility, and Growth Revisited.” Working paper, Tel Aviv University.Google Scholar

  • Basu, K. 2006. “Gender and Say: A Model of Household Behaviour with Endogenously Determined Balance of Power.” Economic Journal 116: 558–80.CrossrefGoogle Scholar

  • Becker, G. S. 1960. “An Economic Analysis of Fertility,” in Demographic and Economic Change in Developed Countries, edited by Universities National Bureau, 209– 31. New York: Columbia University Press.Google Scholar

  • Becker, G. S., and H. G. Lewis. 1973. “On the Interaction between the Quantity and Quality of Children.” Journal of Political Economy 81: S279–S288.CrossrefGoogle Scholar

  • Becker, G. S., and N. Tomes. 1976. “Child Endowments and the Quantity and Quality of Children.” Journal of Political Economy 84: S143–S162.CrossrefGoogle Scholar

  • Bellido, H., M. Marcén, and J. A. Molina. 2016. “The Effect of Culture on Fertility Behavior of US Teen Mothers.” Feminist Economics 22: 101–26.CrossrefGoogle Scholar

  • Bergstrom, T. C. 1997. “A Survey of Theories of the Family.” In Handbook of Population and Family Economics, vol. 1A, edited by M. R. Rosenzweig and O. Stark, 21–79. Amsterdam: Elsevier B. V.Google Scholar

  • Bernheim, B. D., A. Shleifer, and L. H. Summers. 1985. “The Strategic Bequest Motive.” Journal of Political Economy 93: 1045–76.CrossrefGoogle Scholar

  • Black, D. A., N. Kolesnikova, S. G. Sanders, and L. J. Taylor. 2013. “Are Children ‘Normal’?” Review of Economics and Statistics 95: 21–33.CrossrefGoogle Scholar

  • Brown, M., C. J. Flinn, and J. Mullins. 2015. “Family Law Effects on Divorce, Fertility and Child Investment.” Working paper, New York University.Google Scholar

  • Browning, M., and P.-A. Chiappori. 1998. “Efficient Intra-Household Allocations: A General Characterization and Empirical Tests.” Econometrica 66: 1241–78.CrossrefGoogle Scholar

  • Browning, M., P.-A. Chiappori, and V. Lechene. 2006. “Collective and Unitary Models: A Clarification.” Review of the Economics of the Household 4: 5–14.CrossrefGoogle Scholar

  • Browning, M., P.-A. Chiappori, and Y. Weiss. 2014. Economics of the Family. New York: Cambridge University Press.Google Scholar

  • Bruckner, M., and H. Schwandt. 2015. “Income and Population Growth.” Economic Journal 125: 1653–76.CrossrefGoogle Scholar

  • Canning, D., D. French, and M. Moore. 2016. “The Economics of Fertility Timing: An Euler Equation Approach.” Working paper, No. 3, University of Belfast, .Google Scholar

  • Chiappori, P.-A. 1988. “Rational Household Labor Supply.” Econometrica 56: 63–90.CrossrefGoogle Scholar

  • Chiappori, P.-A. 1992. “Collective Labor Supply and Welfare.” Journal of Political Economy 100: 437–67.CrossrefGoogle Scholar

  • Cigno, A. 2012. “Marriage as a Commitment Device.” Review of Economics of the Household 10: 193–213.CrossrefGoogle Scholar

  • Cigno, A. 2014. “Is Marriage as Good as a Contract?” CESifo Economic Studies 60: 599–612.CrossrefGoogle Scholar

  • Connelly, R., and J. Kimmel. 2015. “If You're Happy and You Know It: How Do Mothers and Fathers in the US Really Feel about Caring for Their Children?” Feminist Economics 21: 1–34.CrossrefGoogle Scholar

  • Córdoba, J. C., and M. Ripoll. 2016. “Intergenerational Transfers and the Fertility-Income Relationship.” Economic Journal 126: 949–77.CrossrefGoogle Scholar

  • Duflo, E. 2003. “Grandmothers and Granddaughters: Old Age Pension and Intra-Household Allocation in South Africa.” World Bank Economic Review 17: 1–25.CrossrefGoogle Scholar

  • Ermisch, J. F. 1989. “Purchased Childcare, Optimal Family Size and Mother’s Employment: Theory and Econometric Analysis.” Journal of Population Economics 2: 79–102.CrossrefGoogle Scholar

  • Ermisch, J. F. 2003. An Economic Analysis of the Family. Princeton: Princeton University Press.Google Scholar

  • Fisher, H. 2012. “Fertility in a Collective Household Model.” Working paper, University of Sydney.Google Scholar

  • Galor, O. 2011. Unified Growth Theory. Princeton: Princeton University Press.Google Scholar

  • Galor, O., and D. N. Weil. 2000. “Population, Technology, and Growth: From Malthusian Stagnation to the Demographic Transition and Beyond.” American Economic Review 90: 806–28.CrossrefGoogle Scholar

  • Gauthier, A. H., and J. Hatzius. 1997. “Family Benefits and Fertility: An Econometric Analysis.” Population Studies 51: 295–306.CrossrefGoogle Scholar

  • Gugl, E. 2009. “Income Splitting, Specialization, and Intra-Family Distribution.” Canadian Journal of Economics 42: 1050–71.CrossrefGoogle Scholar

  • Hazan, M., and H. Zoabi. 2006. “Does Longevity Cause Growth? A Theoretical Critique.” Journal of Economic Growth 11: 363–76.CrossrefGoogle Scholar

  • Hazan, M., and H. Zoabi. 2015. “Do Highly Educated Women Choose Smaller Families?” Economic Journal 125: 1191–226.CrossrefGoogle Scholar

  • Heckman, J. J., and R. J. Willis. 1976. “Estimation of a Stochastic Model of Reproduction: An Econometric Approach.” In Household Production and Consumption, edited by N. E. Terleckyj, 99–146. New York: Columbia University Press.Google Scholar

  • Holloway, S. D., and A. Nagase. 2014. “Child Rearing in Japan.” In Parenting across Cultures: Childrearing, Motherhood and Fatherhood in Non-Western Cultures, vol. 7, edited by H. Selin, 59–76. Dordrecht: Springer.Google Scholar

  • Horioka, C. Y., E. Gahramanov, A. Hayat, and X. Tang. 2018. “Why Do Children Take Care of Their Elderly Parents? are the Japanese Any Different?” International Economic Review 59: 113–36.CrossrefGoogle Scholar

  • Hotz, V. J., J. A. Klerman, and R. J. Willis. 1997. “The Economics of Fertility in Developed Countries.” In Handbook of Population and Family Economics, vol. 1A, edited by M. R. Rosenzweig and O. Stark, 275–347. Amsterdam: Elsevier B. V.Google Scholar

  • Jones, L. E., and M. Tertilt. 2008. “An Economic History of Fertility in the United States: 1826-1960.” In Frontiers of Family Economics, vol. 1, edited by P. Rupert, 165–230. Bingley: Emerald Group Publishing.Google Scholar

  • Kim, J. 2005. “Sex Selection and Fertility in a Dynamic Model of Conception and Abortion.” Journal of Population Economics 18: 41–67.CrossrefGoogle Scholar

  • Kim, Y-I. A. 2014. “Lifetime Impact of Cash Transfer on Fertility.” Canadian Studies in Population 41: 97–110.CrossrefGoogle Scholar

  • Kitao, S. 2015. “Fiscal Cost of Demographic Transition in Japan.” Journal of Economic Dynamics and Control 54: 37–58.CrossrefGoogle Scholar

  • Konrad, K. A., H. Künemund, K. E. Lommerud, and J. R. Robledo. 2002. “Geography of the Family.” American Economic Review 92: 981–98.CrossrefGoogle Scholar

  • Konrad, K. A., and K. E. Lommerud. 1995. “Family Policy with Non-Cooperative Families.” Scandinavian Journal of Economics 97: 581–601.CrossrefGoogle Scholar

  • Kremer, M., and D. L. Chen. 2002. “Income Distribution Dynamics with Endogenous Fertility.” Journal of Economic Growth 7: 227–58.CrossrefGoogle Scholar

  • Kureishi, W., and M. Wakabayashi. 2011. “Son Preference in Japan.” Journal of Population Economics 24: 873–93.CrossrefGoogle Scholar

  • Lépine, A., and E. Strobl. 2013. “The Effect of Women’s Bargaining Power on Child Nutrition in Rural Senegal.” World Development 45: 17–30.CrossrefGoogle Scholar

  • McGarry, K. 1999. “Inter Vivos Transfers and Intended Bequests.” Journal of Public Economics 73: 321–51.CrossrefGoogle Scholar

  • Meier, V., and H. Rainer. 2015. “Pigou Meets Ramsey: Gender-Based Taxation with Non-Cooperative Couples.” European Economic Review 77: 28–46.CrossrefGoogle Scholar

  • Meier, V., and H. Rainer. 2017. “Daddy Months.” Journal of Population Economics 30: 875–92.CrossrefGoogle Scholar

  • Milligan, K. 2005. “Subsidizing the Stork: New Evidence on Tax Incentives and Fertility.” Review of Economics and Statistics 87: 539–55.CrossrefGoogle Scholar

  • Mira, P. 2007. “Uncertain Infant Mortality, Learning, and Life-Cycle Fertility.” International Economic Review 48: 809–46.CrossrefGoogle Scholar

  • Moffitt, R. 1984. “Optimal Life-Cycle Profiles of Fertility and Labor Supply.” Research in Population Economics 5: 29–50.Google Scholar

  • Mörk, E., A. Sjögren, and H. Svaleryd. 2013. “Childcare Costs and the Demand for Children - Evidence from a Nationwide Reform.” Journal of Population Economics 26: 33–65.CrossrefGoogle Scholar

  • Newman, J. L. 1988. “A Stochastic Dynamic Model of Fertility.” Research in Population Economics 6: 41–68.Google Scholar

  • Ogawa, N. 2003. “Japan’s Changing Fertility Mechanisms and Its Policy Responses.” Journal of Population Research 20: 89–106.CrossrefGoogle Scholar

  • Oliveira, J. 2016. “The Value of Children: Inter-Generational Support, Fertility and Human Capital.” Journal of Development Economics 120: 1–16.CrossrefGoogle Scholar

  • Samuelson, P. A. 1956. “Social Indifference Curves.” Quarterly Journal of Economics 70: 1–22.CrossrefGoogle Scholar

  • Sánchez-Romero, M., N. Ogawa, and R. Matsukura. 2013. “To Give or Not to Give a Bequest: Bequest Estimate and Wealth Impact Based on a CGE Model with Realistic Demography in Japan.” Working paper, Max Planck Institute for Demographic Research.Google Scholar

  • Schultz, T. P. 1990. “Testing the Neoclassical Model of Family Labor Supply and Fertility.” Journal of Human Resources 25: 599–634.CrossrefGoogle Scholar

  • Schultz, T. P. 1997. “Demand for Children in Low Income Countries.” In Handbook of Population and Family Economics, vol. 1A, edited by M. R. Rosenzweig and O. Stark, 349–430. Amsterdam: Elsevier B. V.Google Scholar

  • Sleebos, J. E. 2003. “Low Fertility Rates in OECD Countries: Facts and Policy Responses.” OECD Labour Market and Social Policy Occasional Papers 15: 1–62.Google Scholar

  • Strulik, H., and S. Vollmer. 2015. “The Fertility Transition around the World.” Journal of Population Economics 28: 31–44.CrossrefGoogle Scholar

  • Thomas, D. 1990. “Intra-Household Resource Allocation: An Inferential Approach.” Journal of Human Resources 25: 635–64.CrossrefGoogle Scholar

  • Varian, H. R. 1984. “Social Indifference Curves and Aggregate Demand.” Quarterly Journal of Economics 99: 403–14.CrossrefGoogle Scholar

  • Wang, Q., and X. Sun. 2016. “The Role of Socio-Political and Economic Factors in Fertility Decline: A Cross-Country Analysis.” World Development 87: 360–70.CrossrefGoogle Scholar

  • Weil, D. N. 2016. Economic Growth. London and New York: Routledge.Google Scholar

  • Wilhelm, M. O. 1996. “Bequest Behavior and the Effect of Heirs’ Earnings: Testing the Altruistic Model of Bequests.” American Economics Review 86: 874–92.Google Scholar

  • Willis, R. J. 1973. “A New Approach to the Economic Theory of Fertility Behavior.” Journal of Political Economy 81: S14–S64.Google Scholar

  • Wolpin, K. I. 1984. “An Estimable Dynamic Stochastic Model of Fertility and Child Mortality.” Journal of Political Economy 92: 852–74.CrossrefGoogle Scholar

  • Yamamoto, Y. 2015. “Social Class and Japanese Mothers’ Support of Young Children’s Education: A Qualitative Study.” Journal of Early Childhood Research 13: 165–80.CrossrefGoogle Scholar

  • Yamamura, E. 2013. “Effects of Sex Preference and Social Pressure on Fertility in Changing Japanese Families.” Journal of Socio-Economics 46: 97–104.CrossrefGoogle Scholar

  • Zhang, J., J. Quan, and P. Van Meerbergen. 1994. “The Effect of Tax-Transfer Policies on Fertility in Canada, 1921-88.” Journal of Human Resources 29: 181–201.CrossrefGoogle Scholar

About the article

Published Online: 2018-10-12


Citation Information: The B.E. Journal of Economic Analysis & Policy, 20180118, ISSN (Online) 1935-1682, DOI: https://doi.org/10.1515/bejeap-2018-0118.

Export Citation

© 2018 Walter de Gruyter GmbH, Berlin/Boston.Get Permission

Supplementary Article Materials

Comments (0)

Please log in or register to comment.
Log in