The Intergenerational Consequences of Economic Distress: Inutero Exposure to Financial Crises and Birth Outcomes

Working Paper: NBER ID: w30902

Authors: Mevlude Akbulutyuksel; Seyit M. Cilasun; Erdal Tekin; Belgi Turan

Abstract: This paper uses the severe economic crisis in Turkey in 2008-2009 as a quasi-experiment to evaluate the impact of worsening economic conditions during pregnancy on birthweight. Using birth history data from the 2008 and 2013 waves of the Demographic Health Surveys, we find that the economic crisis resulted in decreased birthweight in Turkey, especially impacting infants born to mothers with lower educational levels. Furthermore, a procyclical relationship exists between provincial income levels and the birthweight of infants born to mothers with lower levels of education. However, this relationship is only statistically significant during the crisis period. These results highlight how economic constraints on mothers with lower socio-economic status during economic crises can negatively affect birth outcomes. Furthermore, we examine shifts in fertility behavior and find a decrease in childbirth rates during the crisis, particularly in economically disadvantaged provinces. In line with this decrease in fertility, we also observe a reduced propensity to seek an abortion during the crisis period. Overall, these findings underscore the importance of understanding how economic crises affect infant health and the need for targeted interventions to support vulnerable populations, as well as addressing underlying socio-economic disparities to mitigate their impact on infant well-being.

Keywords: economic crisis; birth outcomes; birth weight; Turkey

JEL Codes: I14; I15; J13


Causal Claims Network Graph

Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.


Causal Claims

CauseEffect
Economic downturn during pregnancy (J13)Lower birth weights (J13)
Economic downturn during pregnancy (J13)Premature births (J13)
Economic downturn during pregnancy (J13)Shorter gestational lengths (J19)
Economic downturn during pregnancy (J13)Reduced prenatal care access (I14)
Economic downturn during pregnancy (J13)Maternal stress (J13)
Economic downturn during pregnancy (J13)Credit constraints (E51)
Selective fertility (Q16)Adverse birth outcomes (J13)
Economic downturn exposure (F44)Adverse birth outcomes (J13)
Economic downturn during pregnancy (J13)Higher rates of abortion (J13)
Economic downturn during pregnancy (J13)Neonatal mortality (J13)

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