I examine the effects of mortality decline on fertility and human capital investment decision of parents taking into account the uncertainty about child survival. The existence of such uncertainty implies that in principle parents can choose between two different strategies regarding the timing of the educational investment. Education may be provided before or after uncertainty about child survival is realized. I propose a model, where parents decide on their fertility before the uncertainty is realized but they choose to invest only in human capital of their surviving children.
The Uncertain Lifetime and the Timing of Human Capital InvestmentSebnem Kalemli-Ozcan ,
3( 21 )
Journal of Population Economics