Abstract
Fertility and female labour force participation are no longer negatively correlated in developed countries. At the same time, increased immigration affects supply and prices of household services, which are relevant to fertility and employment decisions. This paper analyses the effect of immigration on labour supply and fertility of native women in the UK. Adopting an instrumental variable approach, I find that immigration increases female labour supply without affecting fertility. My results show that immigration increases the size of the childcare sector, and reduces its prices, suggesting that immigrants may ease the trade‐off between working and child rearing among native women.
Original language | English |
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Pages (from-to) | 843-869 |
Number of pages | 27 |
Journal | Oxford Bulletin of Economics and Statistics |
Volume | 80 |
Issue number | 4 |
Early online date | 28 Dec 2017 |
DOIs | |
Publication status | Published - 31 Aug 2018 |
Keywords
- female labour force
- immigrant labour
- childcare