Gateway to Think Tanks
来源类型 | Discussion paper |
规范类型 | 论文 |
来源ID | DP16271 |
DP16271 Status Externalities and Low Birth Rates in Korea | |
Seongeun Kim; Michele Tertilt; Minchul Yum | |
发表日期 | 2021-06-16 |
出版年 | 2021 |
语种 | 英语 |
摘要 | East Asians, especially South Koreans, appear to be preoccupied with their offspring's education---most children spend time in expensive private institutes and in cram schools in the evenings and on weekends. At the same time, South Korea currently has the lowest total fertility rate in the world. In this paper, we propose a theory with status externalities and endogenous fertility that connects these two facts. Using a quantitative heterogeneous-agent model calibrated to Korea, we find that fertility would be 16% higher in the absence of the status externality. Furthermore, childlessness in the poorest quintile would fall from five to less than one percent. We then explore the effects of various government policies. A pro-natal transfer increases fertility and reduces education while an education tax reduces both education and fertility, with heterogeneous effects across the income distribution. The policy mix that maximizes the current generation's welfare consists of an education tax of 12% and moderate pro-natal transfers---a monthly child allowance of 3% of average income for 18 years. This would raise average fertility by about 5% and decrease education spending by 16%. Although this policy increases the welfare of the current generation, it may not do the same for future generations as it lowers their human capital. |
主题 | Macroeconomics and Growth ; Public Economics |
关键词 | Fertility Status Externality Education Childlessness Korea |
URL | https://cepr.org/publications/dp16271 |
来源智库 | Centre for Economic Policy Research (United Kingdom) |
资源类型 | 智库出版物 |
条目标识符 | http://119.78.100.153/handle/2XGU8XDN/545236 |
推荐引用方式 GB/T 7714 | Seongeun Kim,Michele Tertilt,Minchul Yum. DP16271 Status Externalities and Low Birth Rates in Korea. 2021. |
条目包含的文件 | 条目无相关文件。 |
除非特别说明,本系统中所有内容都受版权保护,并保留所有权利。