Impacts of Housing Booms on Fertility in China: A Perspective From Homeownership

Due to the nexus of wealth effect and cost effect, the impact of housing price on fertility is ambiguous in theory. However, the relation between housing price and fertility is essential for policymakers, especially in developing countries. This paper constructs an individual-level panel data set of...

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Veröffentlicht in:International regional science review 2022-09, Vol.45 (5), p.534-554
Hauptverfasser: Pan, Yinghao, Yang, Hao
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description Due to the nexus of wealth effect and cost effect, the impact of housing price on fertility is ambiguous in theory. However, the relation between housing price and fertility is essential for policymakers, especially in developing countries. This paper constructs an individual-level panel data set of over 40,000 randomly selected Chinese females with detailed fertility history during 2006–2010 from the Census 2010. Exploiting variation of housing price growth across cities over time and conditional on marriage status, we show that a 1,000 yuan upward shift in housing price induces the possibility of new birth by 13.9% for homeowners. Homeownership plays a vital role in housing price on fertility. These findings suggest that the wealth effect of housing price dominates the cost effect during the sample periods in China.
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subjects Ambiguity
Censuses
Developing countries
Fertility
Home ownership
Housing
Individual differences
LDCs
Marriage
Panel data
Policy making
Prices
Wealth
title Impacts of Housing Booms on Fertility in China: A Perspective From Homeownership
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