Labor Market Conditions and Fertility in Japan
Sammanfattning: This thesis aims to study the relation between fertility behavior and labor market in Japan. The slack youth employment market has been blamed for the continuously declining fertility rate. However, the linkage between labor market fluctuation and fertility behavior is empirically unclear. Based on the micro data compiled from Japanese Generally Social Survey, I apply discrete time hazard model and possion regression. The empirical result shows that contemporaneous labor market fluctuation negatively impacts on the relative risk of first childbirth while has no significant influence on continuous births. However, the employment opportunities at labor market entry, which have continuous influence on sequent income, have little impact on women’s total number of children. I also find that male and female unemployment affect female fertility in the same direction, though the strengths vary. Additionally, reactions of fertility behaviors are different across education backgrounds. E.g., when the unemployment rate increases, the relative risk of first childbirths for well-educated women diminishes more than that of low educated ones.
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