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OF DEMOGRAPHY
/ 2007
Belinda Aparicio Diaz, Thomas Fent, Alexia Prskawetz, and Laura Bernardi
Transition to parenthood: The role of social interaction and endogenous networks
AbstractEmpirical studies indicate that the transition to parenthood is influenced by an individual's peer group. To study the mechanisms that create interdependencies across individuals' transition to parenthood and its timing we apply an agent-based simulation model. We build a one-sex model and provide agents with four different characteristics. Based on these characteristics, agents endogenously form their network. Network members then may influence the agents' transition to higher parity levels. Our numerical simulations indicate that accounting for social interactions can explain the shift of first-birth probabilities in Austria over the period 1984 to . Moreover, we apply our model to forecast agespecific fertility rates up to .
2021
KeywordsTransition to parenthood, changes in age specific fertility rates, agent-based model, social interaction, endogenous network
We study the sensitivity of projected economic productivity (output per worker) with respect to alternative projections of labour supply and alternative assumptions on the substitutability of workers at different ages. We show that in a pure labour economy assuming imperfect substitution of workers at different ages implies an increase in relative productivity during the next two decades. For a decreasing or hump-shaped age-specific productivity profile a negative tradeoff between an increasing labour force at older ages and aggregate productivity results. A decline in productivity can be attenuated by adjusting labour force participation rates to levels currently observed in Nordic countries.
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