Daniel Goh (McGill ID: 260305028)
ECON 426, Article Summary
28 September 2011
Title: Subsidizing the Stork: New Evidence on Tax Incentives and Fertility
Authors: Kevin Milligan
Source: The Review of Economics and Statistics
Date: August 2005
Keywords: Fertility incentives, fiscal policy
• Do fiscal policies affect fertility rate?
• Does the magnitude of incentives affect fertility rate?
• The fertility rate in Quebec increased significantly, to levels comparable to the
rest of Canada, after implementation of the Allowance for Newborn Children
(ANC) policy, but decreased once the policy was cancelled.
• The increases in birth of third or higher parity increased during the ANC policy,
most likely due to higher incentives.
• Many cited articles examine the view of fiscal incentives on fertility (for example,
Duclos, Lefebvre, and Merrigan (2001).
• Also cited articles that presented different results in order to explain differences in