The Choice of Family Size and the Compatibility of Female Workforce Participation in the Low-Income Setting

Abstract

This paper examines the extent to which female employment is compatible with raising a family. A simulataneous equation model of household decision making and a model which accounts for supply constraints on family size are used. Variables in the empirical model include: 1) children ever-born 2) female work force participation and 3) child deaths. Data are derived from a large 1972 household survey in Belo Horizonte Brazils 3rd largest city. The annual birth and death rates in Belo Horizonte are 35 and 12/1000 respectively. Of the 3612 households surveyed 2445 were used in this study; 8079 individuals are represented. The characteristics of the population include: 1) young individuals (70% were below 40 years) 2) low educational levels and 3) predominantly migrants. The results of the analysis are that: 1) income exerts a positive effect on fertility 2) child mortality is highly significant in children ever-born 3) childbearing approaches a limit of 5 children at the age of 36 4) the impact of education on children ever-born varies notably 5) formal workforce participation has a negative influence on family size 6) as economic development takes place and the structure of employment opportunities changes there may be a depressing impact on family size and population growth rates and 7) the number and ages of the children at home have a relatively small impact on female workforce participation. The impact of education is quite different over various ranges of the educational continuum. While moving from a level of no education to a college level average child mortality is reduced by 0.4. Around 75% of this reduction occurs by simply providing a complete primary education.