poverty and fertility
DESCRIPTION
Why do poor families have so many children? Does poverty cause them to have more children? Are they poor because they have so many children?TRANSCRIPT
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Demography
February 14, 2015
Buddhi Nirukshi Panagoda
Lahara Ranaweera
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Readings
Banerjee, A.V., and Duflo, E., (2006). The Economic Lives of the Poor.
Udry, Christopher, (2004). Child Labor,
Chapter 9: Population Growth and Economic Development, Development Economics, pp. 314 325.
Chapter 3: Population, Development Microeconomics, pp. 20 32.
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- Banerjee and Duflo -
Mortality Large number of children &
Fertility Elderly dependents
Fertility Fewer dependents &
More ability to save and invest
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Relationship between Poverty and Population Growth
Lack of access to
education and health care
Few job prospects
& low earnings
Poor health &
nutrition; stunted
physical/mental
development
Lack
of energy
Poor
performance in school,
work, & overall learning
Lack of job prospects outside of manual labor, subsistence
farming
More children needed to provide labor and
security in old age
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Return on Investment
Children
Parents investment in
his/her human capital
Adults
Produces income, makes transfers to parents, and
invests in children
Elderly
Receives transfers from children and
returns from assets
More Children = More Return on Investment
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Cost- Benefit Approach
More Children = More Cost
Direct Cost
Food, Health Care, Education, etc.
Indirect Cost
Income foregone in the process of bringing up the child
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Different Preferences...?
Educated Mother:
Knowledge to limit child birth
Higher value on education
Fewer children with higher
investment in human capital in
each child
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Attitude Matters!
Poverty is not an accident.
Like slavery and apartheid,
it is man-made and can be removed
by the actions of human beings.
- Nelson Mandela