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Two-child Policy, Gender Income and Fertility Choice In China

Tao-Xiong Liu and Jun Liu
Authors registered in the RePEc Author Service: 刘涛雄

MPRA Paper from University Library of Munich, Germany

Abstract: We build up a three-period overlapping generation model to explore the effectiveness of fertility policy and the corresponding factors affecting the fertility choices in China. The results show that there is a significant U-shaped relationship between female income and the two-child fertility choice, and a significant positive relationship between male income and the two-child fertility choice, and the relationship between the price of other child care services and the two-child fertility choice is negatively correlated. The analysis of the effectiveness of the current universal two-child policy suggests that there exists a threshold of the fertility policy estimated to be between 1 and 2. Therefore, even if the two-child policy is further relaxed to a three child policy, it will exert little influence on fertility choice. Thus other forms of fertility policy should be combined to improve fertility rate.

Keywords: two-child policy; male and female income; threshold of the fertility policy (search for similar items in EconPapers)
JEL-codes: J13 J18 J31 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-cna, nep-dge and nep-tra
Date: 2017-11
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