ECN 340 Lecture : Chapter 6
Document Summary
The production of children chapter 6 y children are a source of consumption y children are an object of investment. Children as an economic good y parents get companionship y someone to talk to y take a walk with y parents enjoy being respected and adored y children bring pleasure y y. In the past, children = old age plan (pension) Cost of children y giving birth (pain) y food y clothing y shelter y education y entertainment y medical expenses y insurance y transportation y emotional drain y time of the parents (most important input to having children) Demand and supply of children y child comes when own will, therefore there are always possible surprises (behavior etc) y cannot send one back! Child production y government subsidies will increase # of children y. Issue of fetus transplant- rich mother can have the poor mother carry the baby- both would gain.