The Casual Effect of Family Size on the Human Capital in Iranian Society

Nooshin Rashti Mohammad (), Ali Taieb Nia () and Sajjad Barkhordari ()
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Nooshin Rashti Mohammad: University of Tehran
Ali Taieb Nia: University of Tehran
Sajjad Barkhordari: University of Tehran

Journal of the Knowledge Economy, 2024, vol. 15, issue 1, No 162, 4056-4071

Abstract: Abstract This study examines the causal effect of family size on the educational level of children in Iranian society using the urban and rural household income and expenditure survey-2019 and 2SLS method. The instrumental variable of the gender related to the first child born in the family was used to address the endogeneity of the family size variable, due to the clear preference of Iranian families for having boys and extension of the family until having a boy. The results indicated the negative and significant effect of family size on the educational level of children regardless of the probability of endogeneity of this variable, while family size had a positive and significant effect on the education of children after considering the probability of endogeneity and using the instrumental variable. In addition, results showed the birth order of children had a negative and significant effect on their educational level. Therefore, younger children were less likely to graduate compared to older ones.

Keywords: Family size; Education; Children; Endogeneity; Instrumental variable; J13; C31; C26 (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/s13132-023-01333-6

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