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"Keeping up with the Joneses" and fertility choice

Author

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  • Ratbek Dzhumashev
  • Ainura Tursunalieva

Abstract

This paper analyses how "keeping-up-with-the-Joneses" (KUJ) preferences affect fertility choice, and aims to explain patterns in fertility which are inconsistent with existing theories. In the developed model, KUJ preferences are defined over three contemporaneous factors: average consumption, fertility rate, and human capital in society. The extended model shows that implications of KUJ preferences on fertility choice well agree with the patterns in fertility data. This paper tests the fertility choice implications of KUJ preferences using fertility survey data from the United States. The empirical results support the predictions of the theoretical model.

Suggested Citation

  • Ratbek Dzhumashev & Ainura Tursunalieva, 2016. ""Keeping up with the Joneses" and fertility choice," Monash Economics Working Papers 30-16, Monash University, Department of Economics.
    • Handle: RePEc:mos:moswps:2016-30
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    References listed on IDEAS

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    Cited by:

    1. Ejiro U. Osiobe, 2019. "The Effect of Australia’s Declining Fertility Rate 1978-2016," International Journal of Human Resource Studies, Macrothink Institute, vol. 9(4), pages 95-100, December.

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