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This article critically reviews the literature on fertility and female labor force behavior in the United States, with particular emphasis on recent quantitative research by economists, demographers, and sociologists. We first examine the empirical evidence regarding the influence on fertility and female employment of certain key variables: the value of female time, husband's income, and relative economic status. Then the issue of whether there is direct causality between fertility and female labor supply is addressed. We review simultaneous equations models and a new approach to the study of causality. Sequential decision-making models are also discussed.
Factors that may mediate the fertility-labor supply nexus are examined. These include childcare arrangements, husband's income, wife's education, and the convenience of employment. Differentials in the relationship between fertility and labor supply among racial and religious groups are noted. The article concludes with a discussion of changes over time in the association between fertility and female employment.
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