The International Child Poverty Gap: Does Demography Matter?

According to the Luxembourg Income Study data, the U.S. child poverty rate is the second highest among 15 high-income nations. The present work reveals that 55% of all American children living in a household headed by a single female with no other adult present live in poverty-the highest rate for any of the five living arrangements in the 15 countries examined in this study. While previous analyses have focused on market forces and governmental redistribution across households, we question the contribution of demographic factors that place children in family structures with different poverty risks relative to other factors such as differential market opportunities and governmental benefits for adults caring for children in various living arrangements. Applying a classic demographic decomposition technique to the overall poverty gap, we find that the distributional effect of demographic behavior contributes little to the U.S. poverty gap with other nations (and none with respect to the United Kingdom). Overall differences in labor markets and welfare schemes best explain the U.S. child poverty gap, although for some countries, the gap is accentuated by the gradient of governmental transfers, and for most countries, by the gradient of market earnings across living arrangements.     

Economic determinants of family size in West Africa

The economic theory of fertility postulates that income and prices, broadly defined, are important determinants of family size. What follows is an attempt to test this theory against the behavior of 717 predominantly urban households in Sierra Leone. Husband's education is used as a proxy for income; the "price" of a child is accounted for by wife's education and wife's wage rate. Other important variables are wife's age, a measure of child "quality," wife's age at first birth, and child mortality. The findings of the study tend to lend support to the economic theory of fertility but contain certain peculiarities which indicate a need for further research.     

Children and the Elderly: Wealth Inequality Among America’s Dependents

Life cycle theory predicts that elderly households have higher levels of wealth than households with children, but these wealth gaps are likely dynamic, responding to changes in labor market conditions, patterns of debt accumulation, and the overall economic context. Using Survey of Consumer Finances data from 1989 through 2013, we compare wealth levels between and within the two groups that make up America’s dependents: the elderly and child households (households with a resident child aged 18 or younger). Over the observed period, the absolute wealth gap between elderly and child households in the United States increased substantially, and diverging trends in wealth accumulation exacerbated preexisting between-group disparities. Widening gaps were particularly pronounced among the least-wealthy elderly and child households. Differential demographic change in marital status and racial composition by subgroup do not explain the widening gap. We also find increasing wealth inequality within child households and the rise of a “parental 1 %.” During a time of overall economic growth, the elderly have been able to maintain or increase their wealth, whereas many of the least-wealthy child households saw precipitous declines. Our findings suggest that many child households may lack sufficient assets to promote the successful flourishing of the next generation.     

One-child families also have possibilities for getting rich]

The common people believe that families with more children have a larger labor force and more income, and that families with 1 child have a smaller labor force and thus less income. Recent findings from Zhangqiu County of Shandong Province show that families with only 1 child have 67.8% more income than families with 2 children. The reason is that families with 1 child have fewer dependents and the financial burden for them is less. When the husband goes to work, the wife, who is taking care of only one child, will have more time and energy for part-time work to be done at home to increase income. In addition, if a family has fewer children, expenditures are also lower, and this is a beneficial condition for becoming wealthy. Furthermore, the nation offers a great many financial privileges and special treatment to families with 1 child, such as tuition exemptions, medical and health care allowances, more grain quotas, and better marketing arrangements for products from households with 1 child. All these have improved the livelihood of families with 1 child. An adequate ideological education to families with 1 child is needed in order to increase their motivation and productivity. Good nurseries and kindergartens are also needed so that parents may concentrate on their daily work and improve productivity. Birth control measures for childbearing women should be improved and efforts should be made to emphasize the importance of birth control to the nation.     

The Influence of Local Price and Availability on Parents’ Choice of Child Care

The striking variation in patterns of child care usage across states reflects differences in family characteristics, but may also reflect exogenous differences in local child care markets. Type of care selected will be influenced by the availability, cost, and accessibility of supply in the child care market as well as by family and child characteristics and cultural preferences. This study contributes to the growing literature on parental demand for child care by using a recent detailed data set from the state of Minnesota. We link household-level data on child care usage and family characteristics with county-level data on average provider rates and availability by type of care in order to estimate multinomial logit models analyzing the family, child, and market characteristics that predict type of care. Our analysis shows that using a relative or friend to care for a child is largely determined by availability, and choice of family care providers is most responsive to price for employed mothers. The types of care chosen by mothers who are not in the paid labor force differ substantially from the choices of employed mothers, and their use of center care is influenced by the prices of both center and family providers. Attitudes towards relative care are also shown to influence type of care chosen.     

Paternal child care and children's development

This paper uses the NLSY-Child data to assess the effects on cognitive and social-emotional development of father care as a child care arrangement among children in two-parent families with working mothers. Our results show that father care for infants is no better or worse than other types of arrangements. However, toddlers in non-paternal modes of child care (e.g., relatives, family day care or center care) have slightly better cognitive outcomes than those whose fathers provided care. Although our analyses do not provide a definitive explanation for this finding, there is a substantial influx of fathers in our data who provide child care in years 2 and 3 and these fathers appear compositionally different from fathers who provided care during a child's infancy. In particular, there is some indication that these fathers who are newly providing care during a child's toddler years may be temporary care providers due to changing economic circumstances. The research was supported by NICHD grant #HD30944. Responsible editor: Deborah Cobb-Clark.     

Direct Valuation of Personal Care by Households

This paper valued the quantity of child, sick, and elderly care provided by households using a new, direct measure. Such measures add to the literature that estimates the size of the contribution of non-market work by household members, particularly women, and to literature about valuation of childcare. This production remains unvalued in standard national income accounts. Traditional attempts to quantify this care multiplied care-giver hours by a wage rate, a method that suffers from several drawbacks, including omitting the contributions of anything but labor, the inability to handle joint production, and the use of an arbitrary wage rate. This study avoided these problems by valuing the amount of care with its market price based on data from a small urban area. The mean value was $3,547 annually (97 percent of it childcare) for all sample households and $9,610 for those providing care. The results afforded evidence of scale economies in parental childcare and quantified care furnished by different kinds of providers.     

Immigration and living arrangements: Moving beyond economic need versus acculturation

Prior research seeking to explain variation in extended family coresidence focused heavily on the potentially competing roles of cultural preferences and socioeconomic and demographic structural constraints. We focus on challenges associated with international immigration as an additional factor driving variation across groups. Using 2000 census data from Mexico and the United States, we compare the prevalence and age patterns of various types of extended family and non-kin living arrangements among Mexican-origin immigrants and nonimmigrants on both sides of the U.S.-Mexico border. Additionally, we use the Survey of Income and Program Participation to examine the stability of extended family living arrangements among Mexican-origin immigrants and natives in the United States. We find that newly arrived immigrants to the United States display unique patterns in the composition and stability of their households relative to nonimmigrants in both Mexico and the United States. Recent immigrants are more likely to reside in an extended family or non-kin household, and among those living with relatives, recent immigrants are more likely to live with extended family from a similar generation (such as siblings and cousins). Further, these households experience high levels of turnover. The results suggest that the high levels of coresidence observed among recently arrived Mexican immigrants represent a departure from “traditional” household/family structures in Mexico and are related to the challenges associated with international migration.     

Child Poverty Among Hong Kong Ethnic Minorities

This paper analyzes the data from the Population Census of 2011 to identify the characteristics of poor ethnic minority groups in Hong Kong and the factors that are associated with child poverty among these ethnic minorities. The results show that the child poverty level varies between different ethnic groups and that ethnic minorities from developing nations are likely to have a higher poverty level. In particular, Pakistani children have the highest poverty rate among all ethnic groups. The results also show that Pakistani, Nepalese, and Mixed (Chinese and Asian) nationalities have a higher child poverty rate than that of Chinese individuals who constitute the majority of the Hong Kong population. The main reason for this is that, unlike their Chinese counterparts, some of these ethnic minority households have not benefited from their own human capital or their length of exposure in the local society in Hong Kong. And even if they have benefited, the positive impact of these factors on ethnic minority households was much weaker compared to that of Chinese households. These results suggest that ethnic minorities need to be categorized as a separate group in order to assess their specific needs, and assimilation policies, especially support on Chinese language learning, need to be an integral part of the government’s poverty reduction strategy to reduce child poverty among ethnic minorities.     

Changes in Young Children’s Family Structures and Child Care Arrangements

Family structure change can disrupt the settings of children’s daily lives. Most scholarship focuses on disruption in the home environment. Moving beyond the home, this study explores the association between changes in family structure and changes in several dimensions of early child care. With longitudinal data from the NICHD Study of Early Child Care and Youth Development (n = 1,298), first-difference models reveal that family structure transitions are associated with changes in the type and quantity of early care as well as the number of care arrangements used, especially during the latter part of infancy. Given prior evidence linking these child care dimensions to behavioral and cognitive outcomes, these results suggest a policy-relevant mechanism by which family change may create inequalities among children.     

Mothers,fathers and children after divorce: The role of institutions

In recent years the increase in the divorce rate in many advanced countries and the predominance of female-headed families among the poor has generated much interest in the relationship between divorce and the welfare of mothers and children. In this paper I will review a small body of economic literature which has been recently developed in order to analyze the economic consequence of divorce on the welfare of fathers, mothers and children under alternative behavioral assumptions. Important economic and econometric issues arise from an analysis of welfare in non intact households as compared with intact households. In particular the focus is on the role that institutions play in post-divorce arrangements and important implications concerning policies for child support, custody, and visitation.Presidential Address of the Annual Congress of ESPE2000 held on June 15, 2000 in Bonn. I would like to thank Christopher Flinn, Rocio Ribero, Maristella Botticini and two anonymous referees for their helpful comments. Responsible editor: Alessandro Cigno.     

Self-employment and providing child care

This paper considers self-employment and providing child care as occupational strategies that can lower the cost of child care. If the ability to care for one's own children while engaged in market work is important to mothers with young children, we predict that women with young children will be more likely to choose to be self-employed or to be a child care provider than women without young children. The analysis provides strong support for this hypothesis. The results show that the presence of young children is an important factor in choosing self-employment and in choosing to be a child care provider. Finally, simulations are presented which show that a woman's choice among these sectors is quite sensitive to the number and ages of her young children.     

The Role of Ethnicity in Father Absence and Children’s School Enrollment in Guatemala

Despite the historical prevalence of single motherhood in Latin America and its rise in recent years, there is limited knowledge on the magnitude and consequences of father absence as experienced by children. Using a nationally representative sample from the 2002 Guatemalan Reproductive Health Survey, this study provides unprecedented documentation on the national prevalence of children’s separate living arrangements from their biological fathers and nonresident fathers’ paternity establishment and child support payments. Using random-intercept models, this study further demonstrates that father absence has a negative effect on the school enrollment of indigenous children of both sexes and Ladino male children. Increased poverty in father-absent households explains a smaller proportion of this adverse effect on indigenous children, suggesting that their fathers, when present, play a stronger social, rather than economic, role compared to their Ladino counterparts. Finally, child support payments attenuate the negative effects of father absence, particularly among Ladino male children.     

A dynamic analysis of turnover in employment and child care

The causes of turnover in child-care arrangements and maternal employment are analyzed using panel data from the National Longitudinal Survey of Youth, supplemented with state-level information on child-care markets. The results indicate that turnover in child care is quite high and that child and family characteristics help explain turnover. Important factors include the mother’s wage, the cost of child care, age of the child, and previous child-care decisions. The reduced-form nature of the analysis makes it difficult to determine whether these factors are important because they are associated with unstable child-care supply or because they affect family decisions, conditional on supply factors. The results provide no direct evidence that child-care turnover is higher in states with more unstable child-care markets.     

Living Arrangements and the Elderly: An Analysis of Old-Age Mortality by Household Structure in Casalguidi, 1819–1859

The elevated levels of protection, assistance, and care enjoyed by the elderly living in complex households has long been a key assumption of many family system theories. However, although this hypothesis has been demonstrated for contemporary contexts, quantitative evidence for past populations is particularly scarce, if not nonexistent. This article investigates the relationship between old-age mortality and living arrangements in a mid–nineteenth century Tuscan population, where the joint family system of sharecroppers coexisted alongside the nuclear system of day laborers. Our findings demonstrate that within complex households, the complexity of relationships, gender inequalities, and possible competition for care and resources among the most vulnerable household members—namely, the elderly and the young—weakens the assumption that the elderly benefitted from lower rates of old-age mortality.     

Purchasing Piety? Coresidence of Married Children With Their Older Parents in Japan

We investigated the conditions under which married children live with their older parents in Japan. We focused on how needs and resources in each generation are associated with whether married couples live with their parents in parent-headed and child-headed households, and we also investigated difference in power relations between older and younger generations and between children and their spouses. We analyzed a nationally representative sample of older parents (n = 3,853) and their married children (n = 8,601) from the 1999 Nihon University Japanese Longitudinal Study of Aging (NUJLSOA). Mutinomial regression revealed that married children with relatively affluent parents tended to live with them in parent-headed households and that married children with parents who are in relatively poor health or who are widowed tended to live with them in child-headed households. We also found that less-educated married children tended to live in the households of their higher-income parents, suggesting that parents may be "purchasing" traditional arrangements with less-affluent children. In addition, children with an educational advantage over their spouses were more likely to have parents living with them in child-headed coresident households. We conclude that traditional multigenerational coresidence has become a commodity negotiated within families based on relative resources and needs within and across generations.     

Social programs and household size: evidence from New York city

What determines how many adults live in a house? How do people divide themselves up among households? Average household sizes vary substantially, both over time and in the cross-section. In this paper, we describe how a variety of government policies affect living arrangements, intentionally or not. Using data from a survey of households in New York City, we find that these incentives appear to have an impact. Specifically, households receiving these housing and income subsidies are smaller on average (measured by number of adults). The impacts appear to be considerably larger than those that would occur if the programs were lump-sum transfers. Small average household size can be extremely expensive in terms of physical and environmental resources, higher rents, and possibly homelessness. Thus, we encourage policymakers to pay greater heed to the provisions built into various social policies that favor smaller households.     

Residential independence among older persons: community and individual factors

The objective of this study is to evaluate an expanded version of the resource model of living arrangements among older persons. This expanded model includes community-level measures of geriatric health services and housing market conditions. We employ the first two waves of the National Survey of Families and Households to test static and longitudinal fixed effects models of residential living arrangements. We find that residing in areas with higher levels of geriatric health care services increases the likelihood of residential independence, net of other contextual factors and individual characteristics. Our results show that housing market conditions are not related to levels of or changes in residential independence when control variables are included in the models. The results for the individual-level resource variables show that persons with greater economic resources, more children, and better functional status are better able to maintain independence and are less likely to die or live in a nursing home. This study shows the utility of expanding on micro-level approaches to understanding community living arrangements among older persons. Future investigations should include measures of the policy environment, transportation constraints and opportunities, and a more complete array of indicators of health and social services oriented toward helping elderly persons maintain their independence.     

Familial Influences on Poverty Among Young Children in Black Immigrant,U.S.-born Black,and Nonblack Immigrant Families

This study examines how familial contexts affect poverty disparities between the children of immigrant and U.S.-born blacks, and among black and nonblack children of immigrants. Despite lower gross child poverty rates in immigrant than in U.S.-born black families, accounting for differences in family structure reveals that child poverty risks among blacks are highest in single-parent black immigrant families. In addition, within two-parent immigrant families, child poverty declines associated with increasing assimilation are greater than the respective declines in single-parent families. The heads of black immigrant households have more schooling than those of native-black households. However, increased schooling has a weaker negative association with child poverty among the former than among the latter. In terms of racial disparities among the children of immigrants, poverty rates are higher among black than nonblack children. This black disadvantage is, however, driven by the outcomes of first-generation children of African and Hispanic-black immigrants. The results also show that although children in refugee families face elevated poverty risks, these risks are higher among black than among nonblack children of refugees. In addition, the poverty-reducing impact associated with having an English-proficient household head is about three times lower among black children of immigrants than among non-Hispanic white children of immigrants.     

Poverty in the Philippines: the impact of family size

The people of Asia are beginning to realize that lower fertility translates into increased family wealth and educational attainment. This is the message that population and development efforts have been focusing on. In the Philippines, the goal is to lower fertility with a strategy based on the assumption that increased capacity of the economy will support a growing population at a higher standard of living. In the Philippines, over 33% of the households have 7 or more family members, while 20% of urban and 27% of rural households have 4 or more. The risk of poverty associated with increased number of children are 44-50% for 1 child and 60-78% for those with 5. Households spend up to 10% of their total income to raise 1 child, 18% for 2, and 26% for 4 children. Because many families lack the resources to raise children the per child share drops dramatically with each child, a household with 4 children spends 25% less per child than does 1 with 2 children. Occupation also affects income as the highest poverty rates are among heads of household who are: laborers (60%) and agricultural workers (73%). The best solution is an integrated approach with increases in family planning, education, and agricultural reform.