An investigation of cointegration and causality between fertility and female labour force participation

Benjamin Cheng

Applied Economics Letters, 1996, vol. 3, issue 1, 29-32

Abstract: Applying Hsiao's version of the Granger causality method, this paper examines the causality between fertility and female labour participation using transformed US data for the period 1948-93. The PP tests reveal that the original series are not stationary; therefore, a first differencing is performed. This study finds that there is a undirectional causality running from BR to FR with no feedback. The results confirm the hypothesis that the presence of small children discourages a woman from seeking employment outside the house, yet employment does not affect women's decision to have children.

Date: 1996
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DOI: 10.1080/758525511

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