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Thiago CALVACANTI (Cambridge) – ” Family Planning and Development: Aggregate Effects of Contraceptive Use”

November 27, 2017, 12:15 pm - 1:30 pm

The Macroeconomics Seminar: Every Monday at 12:15 pm.

Time: 12:15 pm – 1:30 pm
Date: 27th of November 2017
Place: Room 3001.

Thiago CALVACANTI (Cambridge) – “ Family Planning and Development: Aggregate Effects of Contraceptive Use​”

Abstract: What is the role of family planning interventions on fertility, savings, human capital investment, and development? To examine this, endogenous unwanted fertility is embedded in an otherwise standard quantity-quality overlapping generations model of fertility and growth. The model features costly fertility control and families can (partially) insure against a fertility risk by using costly modern contraceptives. In the event of unexpected pregnancies, households can also opt to abort some pregnancies, at a cost. Given the number of children born, parents decide how much education to provide and how much to save out of their income. We fit the model to Kenyan data, implement several family planning policies and decompose their aggregate effects. Our results suggest that given a small budget (up to 0.5 percent of GDP), legalizing and subsidizing the price of abortion is a more cost-effective policy for improving long-run living standards and reducing inequality than policies that either subsidize the price of modern contraceptives or subsidize basic education.

 Julien PRAT (CREST )


Address : ENSAE ParisTech  5, avenue Henry Le Chatelier 91120 Palaiseau, How to come?



November 27, 2017
12:15 pm - 1:30 pm
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