Fertility, Family Policy, and Labor Supply: Quasi-Experimental Evidence from France.

A new GLO Discussion Paper finds that restricting family allowance eligibility criteria decreases fertility and increases both male and female labor supply.

GLO Discussion Paper No. 984, 2021

Fertility, Family Policy, and Labor Supply: Quasi-Experimental Evidence from France Download PDF
by Elmallakh, Nelly

GLO Fellow Nelly El-Mallakh

Author Abstract: This paper examines fertility and labor supply responses to a French policy reform that consisted in conditioning the amount of child allowances on household income. Relying on Regression Discontinuity Design and administrative income data, the paper finds that restricting family allowance eligibility criteria decreases fertility. The results also highlight that receiving half the amount of the allowances or not receiving any leads to an increase in both male and female labor supply. Auxiliary regressions show that at least part of the decline in fertility is due to timing effects, as the fertility impact declines as women’s age increases.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

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