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The impact of the bonus at birth on reproductive behaviour in a lowest-low fertility context: Friuli-Venezia Giulia (Italy) from 1989 2005

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  • Giovanna Boccuzzo
  • Gianpiero Dalla Zuanna
  • Marcantonio Caltabiano
  • Marzia Loghi

Abstract

As of 1 January 2000 the government of the north-eastern Italian region of FriuliVenezia Giulia (FVG) introduced a substantial bonus at birth. The birth bonus was differentiated by marital status (only married women were eligible), citizenship (only Italians were eligible), and birth order (the bonus grew for the second and especially the third birth). Moreover, the income threshold below which one got the bonus was fairly high. As of 1 January 2004 a new government substantially reduced the bonus amount as well as the upper income limit. We evaluate if the bonuses handed out in FVG during those four years (2000-03) had a significant impact on fertility and abortion choices, verifying whether fertility changed in a different way for women more affected by the new legislation. We also test if the impact of monetary measures was higher for less educated women, because in Italy the relationship between income and education is very strong, and the bonus was practically the same irrespective of income level, hence its relative impact should be stronger in a poorer family. We use two different methods: First, we compare the trends of births and abortion ratios, separately for women affected and not affected by the monetary measures, looking at the differential changes. Second, using log-linear models, we measure if the interactions among time, parity, marital status, citizenship and education are statistically significant in the direction that follows our expectations. Our results show that for low educated (and hence also less rich) women with one or (especially) two and more children, birth trends did change after 1999, whereas the trends for childless women living in FVG and for low-educated women living in other Italian regions did not change.

Suggested Citation

  • Giovanna Boccuzzo & Gianpiero Dalla Zuanna & Marcantonio Caltabiano & Marzia Loghi, 2008. "The impact of the bonus at birth on reproductive behaviour in a lowest-low fertility context: Friuli-Venezia Giulia (Italy) from 1989 2005," Vienna Yearbook of Population Research, Vienna Institute of Demography (VID) of the Austrian Academy of Sciences in Vienna, vol. 6(1), pages 125-147.
  • Handle: RePEc:vid:yearbk:v:6:y:2008:i:1:p:125-147
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    References listed on IDEAS

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    1. Melinda Mills & Katia Begall & Letizia Mencarini & Maria Letizia Tanturri, 2008. "Gender equity and fertility intentions in Italy and the Netherlands," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 18(1), pages 1-26.
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    3. Anne Gauthier, 2007. "The impact of family policies on fertility in industrialized countries: a review of the literature," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 26(3), pages 323-346, June.
    4. Angrist, Joshua D. & Krueger, Alan B., 1999. "Empirical strategies in labor economics," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 23, pages 1277-1366, Elsevier.
    5. Bettio, Francesca & Villa, Paola, 1998. "A Mediterranean Perspective on the Breakdown of the Relationship between Participation and Fertility," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 22(2), pages 137-171, March.
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    3. Svetlana Biryukova & Oxana Sinyavskaya & Irina Nurimanova, 2016. "Estimating effects of 2007 family policy changes on probability of second and subsequent births in Russia," HSE Working papers WP BRP 68/SOC/2016, National Research University Higher School of Economics.
    4. Wookun Kim, 2020. "Baby Bonus, Fertility, and Missing Women," Departmental Working Papers 2011, Southern Methodist University, Department of Economics.

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