Completed fertility effects of family policy measures : evidence from a life-cycle model


Abiry, Raphael ; Reuss, Karsten ; Stichnoth, Holger


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URL: https://ub-madoc.bib.uni-mannheim.de/37141
URN: urn:nbn:de:bsz:180-madoc-371419
Document Type: Working paper
Year of publication: 2014
The title of a journal, publication series: ZEW Discussion Papers
Volume: 14-068
Place of publication: Mannheim
Publication language: English
Institution: Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series: Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject: 330 Economics
Classification: JEL: C25 , C53 , J13 , J22,
Keywords (English): Fertility , female labour supply , family policy , dynamic programming
Abstract: We estimate a structural life-cycle model of fertility and female labour supply and use it to evaluate the effects of a number of key family policy measures based on data for Germany. Parental leave benefits, child benefits and subsidized childcare are found to have substantial fertility effects. Without these measures, completed fertility is estimated to be lower by 6%, 7%, and 10%, respectively. Income tax splitting, which is fiscally expensive, reduces female labour supply but has a negligible effect on fertility.




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