Working Paper: CEPR ID: DP8634
Authors: Avraham Ebenstein; Moshe Hazan; Avi Simhon
Abstract: Prior to 1996, Israelis in collective communities (kibbutzim) shared the costs of raising children equally. This paper examines the impact of the privatization of kibbutzim on fertility behavior among members. We find that fertility declined by 6-15 percent following the shift to privatization. In light of the massive change in financial costs associated with childbearing due to privatization, our results suggest that financial considerations may be a more modest factor in fertility decisions than generally regarded.
Keywords: fertility; privatization
JEL Codes: D1; J13
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| kibbutz privatization (P31) | fertility decline (J19) |
| timing of privatization (L33) | fertility decisions adjustment (J13) |
| kibbutz privatization (P31) | increase in marginal cost of raising children (J13) |
| fertility decline (J19) | financial considerations (G50) |