Fertility and Family Dynamics

This chapter surveys broad patterns of fertility from the Industrial Revolution to the present, with a focus on the United States and Western Europe. It begins by discussing the demographic transition, or the breakdown of the historical positive association between fertility and income growth. During the Industrial Revolution, fertility rates in the West remained stable to decreasing, despite rapid economic growth. The chapter discusses theoretical explanations for this development, as well as empirical evidence offered in the literature. Moving to the twentieth century, the chapter surveys a large literature that accounts for the baby boom, or the dramatic increase in fertility rates that occurred in the 1940s and 1950s, reversing the secular decline in fertility leading up to it. Next, it discusses the rise of non-marital fertility in the late twentieth century, an important recent change in fertility and family dynamics. Finally, the chapter discusses the relationship between fertility and family dynamics and two key economic indicators: women’s labor force participation, and intergenerational economic mobility.