Changing world prices, women's wages, and the fertility transition: Sweden, 1860-1910.

Abstract

This time-series analysis examines during 1860-1910 the impact of changes in local prices of agricultural commodities on wages among men and women in Sweden and the impact of changes in wages on fertility decline child mortality urbanization and improved social conditions. Linear ordinary least squares models are set up to determine whether demand-induced increases in womens wages relative to mens are significant factors in explaining Swedish total fertility rates. Data are obtained from 25 counties and the city of Stockholm among pooled observations for six time periods during 1860-64 and 1910-14. This period is marked by a total fertility decline of 28% a marital fertility decline of 26% and a child mortality decline of 52%. Explanatory variables are the relative prices of main agricultural outputs employment outside of agriculture the proportion of urban population and the child mortality rate. Findings indicate a significant relationship between child mortality and total fertility and specific fertility rates among women aged 20-39 years. A doubling of the male real wage rate was significantly associated with earlier marriage higher birth rates among women aged 15-29 years and lower birth rates among women aged 35-49 years. The ratio of male wages to female wages was associated with a decline in birth rates at all ages with the exception of teenagers. 66% of fertility increase was due to declines in child mortality but this increase was counterbalanced by fertility decline among older women. Child mortality and urbanization depressed marital fertility. Male wages increased the proportion married. A 10% increase in the male/female wage rate was associated with a 25% reduction in the total fertility rate. Another 25% increase in the male/female wage rate was associated with a 50% reduction in child mortality. It is concluded that the value of womens time had a key impact on the Swedish fertility transition.