Wage Rate, the Mommy Trap and Unobserved Types
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| Title | Wage Rate, the Mommy Trap and Unobserved Types
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| Author | Nan Jia, Li Gan and Jie Zhang |
| Organization | Southwestern University of Finance and Economics; Texas A&M University |
| Email | jianancandy@swufe.edu.cn |
| Key Words | Wage Rate; the Mommy Trap; Unobserved Types; Mixture Density Estimation |
| Abstract | There are serious population structure problems in China like pretty low fertility rate, unbalanced sex ratio and aging. But the current fertility policy is only aimed at supply control, ignoring demand side of fertility. This paper studies fertility demand of household by examining effect of childrearing on female wage rate. We estimate different effects of different types of mothers using nonlinear transformation and mixture density model. We find that childrearing has 18% significantly negative effect on mothers’ wage rate in the year when women just give a birth. Exogenous type mothers has larger such effect, which would obviously affect fertility demand of female. |
| Serial Number | WP399 |
| Time | 2012-12-07 |
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