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FAMILY SIZE, HUMAN CAPITAL AND GROWTH: STRUCTURAL PATH ANALYSIS OF RWANDA

Tugrul Temel ()

Journal of Economic Development, 2013, vol. 38, issue 4, 39-73

Abstract: This paper analyzes the macroeconomic role that different household groups play in human capital formation, sectoral growth and income distribution in Rwanda. Using a disaggregated SAM for Rwanda and, with the assistance of structural path analysis, the paper explores the macroeconomic implications of family size for human capital, sectoral growth and income distribution. The findings support the so-called quantity-quality trade-off hypothesis: the smaller the family size, the higher the investment in human capital. In particular, the human capital investment of households with 1-3 children tends to be more pronounced than that of households with more than 3 children. Moreover, households with 1-3 children act as an important intermediate pole transmitting the influence of human capital investment on agricultural production. As a result, promoting family planning programs seems to be a viable strategy for economic growth and poverty reduction.

Keywords: Fertility; Family Planning; Human Capital; Growth; Income Distribution; Path Analysis; SAM Multipliers; Rwanda (search for similar items in EconPapers)
JEL-codes: I15 I25 I38 J13 O15 O21 (search for similar items in EconPapers)
Date: 2013
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Citations: View citations in EconPapers (3)

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Related works:
Working Paper: Family size, human capital and growth: structural path analysis of Rwanda (2011) Downloads
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