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R. Krobath:
"Theoretical approach to the inverse J-shaped relationship of fertility and economic development";
Supervisor: A. Fürnkranz-Prskawetz; Institut für Stochastik und Wirtschaftsmathematik - FG Ökonomie (E 105-3), 2017; final examination: 2017-03-16.

In many common macroeconomic growth models, population increases at a fixed, exogenously
given rate or the relationship between fertility and economic development is assumed to be
negative. This thesis considers the recently discovered fertility rebound in countries with high
levels of development and two overlapping generations models with endogenous fertility are
discussed. Assuming two different types of labor and allowing for both occupation and fertility
choice, Kimura and Yasui (2007) show that capital accumulation increases the income and the
education level of an economy. Furthermore, fertility decreases with output per capita at low
and medium levels of development, and stagnates at high levels of output per capita and education.
Day (2015) extends the model of Kimura and Yasui (2007). She introduces purchased
child rearing inputs and a production function for child rearing. This leads to an inverse J-shaped
association between fertility and economic development. Moreover, it allows for different population
growth rates across countries at the same stage of economic development.