nep-dem New Economics Papers
on Demographic Economics
Issue of 2016‒05‒21
five papers chosen by
Michele Battisti
ifo Institut

  1. A reform proposal of Family income tax deductions and of Family Benefits in Italy By Paolo Bosi
  2. Gender differences and stereotypes in strategic thinking By Maria Cubel; Santiago Sanchez-Pages
  3. Why Do Children Take Care of Their Elderly Parents? Are the Japanese Any Different? By Charles Yuji Horioka; Emin Gahramanov; Aziz Hayat; Xueli Tang
  4. Cutting Fertility? The Effect of Cesarean Deliveries on Subsequent Fertility and Maternal Labor Supply By Halla, Martin; Mayr, Harald; Pruckner, Gerald J.; Garcia-Gomez, Pilar
  5. Securing women's employment: a fertility booster in European countries? By Angela Greulich; Olivier Thévenon; Mathilde Guergoat-Larivière

  1. By: Paolo Bosi
    Abstract: In the Italian fiscal system the monetary transfers supporting families in their parental responsibilities are realized with two different tools: a tax expenditure (tax credits for dependent members of the family) and a family benefit delivered by INPS, the most important central public insurance institution. These instruments have been heavily criticized as for the weak target efficiency, distorted selectivity, lack of universality. This paper proposed a unification of these provisions on the expenditure side introducing a Child benefit which realizes selectivity using the recently reformed Indicator of the economic condition of household (Isee), flat till to 15 thousands Isee and then linearly declining till 25000 euro of Isee, of amount determined according an equivalence scale. The reform utilizes 14,3 billion of euro out of the 18,5 devoted to the present provisions. An accurate distributional analysis using the CAPP welfare microsimulation model shows many positive aspects of the proposal. The article concludes suggesting the opportunity of coordinate this reform with the introduction of a new provision against poverty.
    Keywords: Child benefits, Social assistance, poverty
    JEL: H53 I38
    Date: 2016–04
  2. By: Maria Cubel (Universitat de Barcelona); Santiago Sanchez-Pages (Universitat de Barcelona)
    Abstract: Recent literature has emphasized that individuals display varying levels of strategic reasoning. This paper presents ten years worth of experimental data from two countries exploring the existence and endogeneity of gender differences in strategic sophistication. We report results from two experimental studies employing the beauty contest game, one from the classroom and one from the laboratory. We observe robust and signi?cant gender differences in strategic sophistication in favour of men in zero-stake situations. These differences disappear when a monetary prize is awarded. We also ?find that depth of strategic reasoning varies with gender priming. Females display signi?cantly higher levels of strategic sophistication than males when gender is made salient. This effect of gender priming is driven by females who believe women are superior in the game.
    Keywords: guessing game, strategic sophistication, gender, stereotype threat,beliefs.
    JEL: C72 C91 D81 J16
    Date: 2016
  3. By: Charles Yuji Horioka; Emin Gahramanov; Aziz Hayat; Xueli Tang
    Abstract: In this paper, we conduct a theoretical analysis of why individuals provide care and attention to their elderly parents using a two-period overlapping generations model with endogenous saving and a “contest success function” and test this model using micro data from a Japanese household survey, the Osaka University Preference Parameter Study. To summarize our main findings, we find that the Japanese are more likely to live with (or near) their elderly parents and/or to provide care and attention to them if they expect to receive a bequest from them, which constitutes strong support for the selfish bequest motive or the exchange motive (much stronger than in the United States), but we find that their caregiving behavior is also heavily influenced by the strength of their altruism toward their parents and social norms.
    Date: 2016–05
  4. By: Halla, Martin (University of Innsbruck); Mayr, Harald (University of Zurich); Pruckner, Gerald J. (University of Linz); Garcia-Gomez, Pilar (Erasmus University Rotterdam)
    Abstract: The incidence of Cesarean deliveries (CDs) has been on the rise. The procedure's cost and benefits are discussed controversially; in particular, since non-medically indicated cases seem widespread. We study the effect of CDs on subsequent fertility and maternal labor supply. Identification is achieved by exploiting variation in the supply-side's incentives to induce non-medically indicated CDs across weekdays. On weekends and public holidays obstetricians' are less likely to induce CDs (due tighter capacity constraints in hospital). On Fridays and other days preceding a holiday, they face an increased incentive to induce CDs (due to their demand for leisure on non-working days). We use high-quality administrative data from Austria. Women giving birth on different weekdays are pre-treatment observationally identical. Our instrumental variable estimates show that a non-planned CD at parity one decreases life cycle fertility by almost 17 percent. This reduction in fertility translates into a temporary increase in maternal employment.
    Keywords: Caesarean delivery, Caesarean section, fertility, female labor supply
    JEL: I12 J13 J11 J22 J21
    Date: 2016–04
  5. By: Angela Greulich (Centre d'Economie de la Sorbonne); Olivier Thévenon (Institut National d'Etudes Démographiques (INED) & OECD Social Policy Division); Mathilde Guergoat-Larivière (Conservatoire National des Arts et Métiers (CNAM-LIRSA) & Centre d'Etudes de l'Emploi (CEE))
    Abstract: This article gives evidence that differences in completed fertility among European countries emerge mainly as a result of fewer women having a second child in low fertility countries and analyses the impact of women's employment on the probability of second child birth. With longitudinal data from the European Survey of Income and Living conditions (EU-SILC) and aggregated data from the OECD Family Database, we find that, on average within European countries, women in stable employment have a significantly higher probability of second childbirth than inactive or unemployed women. However, while female employment generally favours a transition to second childbirth in high-fertility countries, the impact is heterogenous in low-fertility countries. This points to a work-life balance conflict that is stronger in low-fertility countries. To address this issue, multilevel models are run to compare the role of various policies: not surprisingly, they show that childcare policies – which are the most effective policies to secure women's employment – are the most likely to encourage couples to enlarge their families and that the positive effect of stable employment on fertility is reinforced by this policy
    Keywords: low fertility; female employment; work-life balance; Europe; family enlargement
    JEL: J13 J16
    Date: 2016–03

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