Abstract

Fertility depends on household decisions in Malaysia; and, in turn, these decisions are strongly influenced by economic and socio-economic factors. Currently, fertility levels around the world vary according to the intergenerational relationships, the socio-economics statuses, and the socio-demographic characteristics of a particular nation. In general, more industrialized and economically developed societies have lower fertility than less-developed societies do. Groups that are more educated and earn higher incomes have lower fertility than less-educated groups with lower incomes do. The purpose of this paper is to dicuss the development of the empirical model to identify the principal determinants of fertility in Malaysia. The results stemmed from the use of panel data that is obtained from the Minnesota Population Centre, the Integrated Public Use Microdata Series, and international data provided by the Department of Statistics, Malaysia. In the empirical analysis, count models are employed. The findings show that marital status, owning a house, and households having women of child-bearing age all affect fertility decisions. In addition, social characteristics, such as ethnicity, religion, socio-economic status, and education level, affect household’s fertility decision.

Highlights

  • Malaysia had a population of a 28.6 million, in 2010

  • The results stemmed from the use of panel data that is obtained from the Minnesota Population Centre, the Integrated Public Use Microdata Series, and international data provided by the Department of Statistics, Malaysia

  • This study has developed an empirical model that explains the determinants of household fertility decisions in Malaysia

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Summary

Introduction

Malaysia had a population of a 28.6 million, in 2010. This figure is projected to increase by between 10 million (35%) and 38.6 million (42.5%) in 2040. Malaysia is home to three major ethnic groups, namely the Bumiputera (includes Malays and Indigenous), Chinese, Indians, others and non-Malaysian. Between 1958 and 1978, the total fertility rate (TFR) fell from 6.3 births per woman to 4.0 births, with all the principal ethnic groups (Chinese, Indians, and Malays) registering fertility declines. During this period, the fertility rate for Malays was 2.8 children per woman, for the Chinese, 1.8 children per woman, and for the Malaysian Indian population, 2.0 children per woman. Malay fertility rates are 40% higher than that of Malaysian Indians and 56% higher than that of Malaysian Chinese. Based on the latest data, the fertility rate in Malaysia has declined from 3.00 in 2000 to 2.2 in 2010 (Table 1)

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