Economics, Econometrics and Finance
7 years ago

Taxes Impact Fertility Rates: Lower Taxes Lead to More Children.

RePEc: Research Papers in Economics
Savings, fertility and public policy in an OLG small open economy
Luca Spataro, Luciano Fanti, Pier Mario Pacini

Paper Summary

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The article explores how different public policies affect savings and fertility in a small open economy. The researchers found that to increase fertility, taxes need to be reduced, and to decrease fertility, taxes need to be increased. However, managing public debt depends on the relationship between interest rates and fertility rates in the absence of taxes.