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Intrafamily Resource Allocations: A Dynamic Model of Birth Weight

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  • Ermisch, John F
  • Francesconi, Marco
  • del Bono, Emilia
Abstract
This paper estimates a model of dynamic intrahousehold investment behavior which incorporates family fixed effects and child endowment heterogeneity. This framework is applied to large American and British survey data on birth outcomes, with focus on the effects of antenatal parental smoking and maternal labor supply net of other maternal behavior and child characteristics. We find that maternal smoking during pregnancy reduces birth weight and fetal growth, while paternal smoking has virtually no effect. Mothers' work interruptions of up to two months before birth have a positive effect on birth outcomes, especially among British children. Parental behavior appears to respond to permanent family-specific unobservables and to child idiosyncratic endowments in a way that suggests that parents have equal concerns, rather than efficiency motives, in allocating their prenatal inputs across children. Evidence of equal concerns emerges also from the analysis of breastfeeding decisions, although the effects in this case are weaker.

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  • Ermisch, John F & Francesconi, Marco & del Bono, Emilia, 2008. "Intrafamily Resource Allocations: A Dynamic Model of Birth Weight," CEPR Discussion Papers 6970, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:6970
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    Cited by:

    1. Amarante, Veronica & Manacorda, Marco & Miguel, Edward & Vigorito, Andrea, 2011. "Do Cash Transfers Improve Birth Outcomes? Evidence from Matched Vital Statistics, Social Security and Program Data," IZA Discussion Papers 6231, Institute of Labor Economics (IZA).
    2. Paul Frijters & David Johnston & Manisha Shah & Michael Shields, 2013. "Intrahousehold Resource Allocation: Do Parents Reduce or Reinforce Child Ability Gaps?," Demography, Springer;Population Association of America (PAA), vol. 50(6), pages 2187-2208, December.
    3. Verónica Amarante & Marco Manacorda & Edward Miguel & Andrea Vigorito, 2016. "Do Cash Transfers Improve Birth Outcomes? Evidence from Matched Vital Statistics, Program, and Social Security Data," American Economic Journal: Economic Policy, American Economic Association, vol. 8(2), pages 1-43, May.
    4. Almond, Douglas & Currie, Janet, 2011. "Human Capital Development before Age Five," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 4, chapter 15, pages 1315-1486, Elsevier.
    5. Schultz, T. Paul, 2010. "Population and Health Policies," Handbook of Development Economics, in: Dani Rodrik & Mark Rosenzweig (ed.), Handbook of Development Economics, edition 1, volume 5, chapter 0, pages 4785-4881, Elsevier.
    6. Lundberg, Shelly, 2013. "Educational Inequality and the Returns to Skills," IZA Discussion Papers 7595, Institute of Labor Economics (IZA).
    7. Gerard J. van den Berg & Pia R. Pinger & Johannes Schoch, 2016. "Instrumental Variable Estimation of the Causal Effect of Hunger Early in Life on Health Later in Life," Economic Journal, Royal Economic Society, vol. 126(591), pages 465-506, March.
    8. Hilary Hoynes & Doug Miller & David Simon, 2015. "Income, the Earned Income Tax Credit, and Infant Health," American Economic Journal: Economic Policy, American Economic Association, vol. 7(1), pages 172-211, February.
    9. Del Bono, Emilia & Ermisch, John, 2009. "Birth weight and the dynamics of early cognitive and behavioural development," ISER Working Paper Series 2009-16, Institute for Social and Economic Research.
    10. Wüst, Miriam, 2010. "The effect of cigarette and alcohol consumption on birth outcomes," Working Papers 10-5, University of Aarhus, Aarhus School of Business, Department of Economics.
    11. Veronica Amarante & Marco Manacorda & Edward Miguel & Andrea Vigorito, 2011. "Social Assistance and Birth Outcomes: Evidence from the Uruguayan PANES," Research Department Publications 4714, Inter-American Development Bank, Research Department.
    12. Frauke H. Peter & C. Katharina Spiess, 2011. "The Bigger the Children, the Bigger the Worries: Are Preschoolers and Adolescents Affected Differently by Family Instability with Regard to Non-cognitive Skills?," SOEPpapers on Multidisciplinary Panel Data Research 367, DIW Berlin, The German Socio-Economic Panel (SOEP).

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    More about this item

    Keywords

    Birth outcomes; Child health production functions; Instrumental variables; Mother's work; Sibling estimators; Smoking;
    All these keywords.

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth

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