Fertility Timing, Wages, and Human Capital

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Abstract
Women who have first births relatively late in life earn higher wages. This paper offers an explanation of this fact based on a staple life-cycle model of human capital investment and timing of first birth. The model yields conditions (that are plausibly satisfied) under which late childbearers will tend to invest more heavily in human capital than early childbearers. The empirical analysis finds results consistent with the higher wages of late childbearers arising primarily through greater measurable human capital investment.
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