Arbeitspapier

Fertility Effects of Child Benefits

We exploit the 1996 reform of the German child benefit program to identify the causal effect of heterogeneous child benefits on fertility. While generally the reform increased child benefits, the exact amount of the increase varied by household income and the number of children. We use these heterogeneities to identify their causal effects on fertility in a difference-in-differences setting. We apply the large samples of the German Mikrozensus and the rich data of the German Socio-economic Panel (SOEP). The reform effects on low income couples are not statistically significant. We find some support for positive fertility effects for higher as opposed to lower income couples deciding on a second birth.

Language
Englisch

Bibliographic citation
Series: CESifo Working Paper ; No. 6465

Classification
Wirtschaft
Fertility; Family Planning; Child Care; Children; Youth
Welfare, Well-Being, and Poverty: Government Programs; Provision and Effects of Welfare Programs
Quantitative Policy Modeling
Subject
child benefits
fertility
tax allowance
causal effect
difference-in-differences
Mikrozensus
SOEP

Event
Geistige Schöpfung
(who)
Riphahn, Regina T.
Wiynck, Frederik
Event
Veröffentlichung
(who)
Center for Economic Studies and ifo Institute (CESifo)
(where)
Munich
(when)
2017

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Riphahn, Regina T.
  • Wiynck, Frederik
  • Center for Economic Studies and ifo Institute (CESifo)

Time of origin

  • 2017

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