The Impact of Women’s Education on Fertility Rate: Evidence from China

Abstract: In recent years, the continuous decline in China's fertility rate has elicited a sense of crisis. The fertility trend appears to correlate with the rising educational attainment among women. Societal expectations and workplace dynamics create a challenging environment for women planning to start a family. As more Chinese women pursue higher education and professional careers, they may delay or even forgo childbirth. This thesis explores the effect of women's education on fertility rates in China, drawing upon recent two-year panel data from the China Family Panel Studies. Through the application of Pooled Ordinary Least Squares (OLS), Fixed Effects (FE) regression models, and Instrumental Variable (IV), Fixed Effects (FE) regression models, a discernible negative relationship emerges between a woman's years of schooling and fertility rates. This correlation will mitigate when including control variables age, marital status, working hours and income. These findings underscore the significant role of female education in influencing fertility trends. Despite existing laws, pregnant women and those considering motherhood face discrimination and inadequate support at work, implying the necessity of incorporating these dynamics into future policy decisions. Nevertheless, the study is constrained by its limited timeframe, necessitating further research to delve deeper into long-term trends and unveil the other potential factors influencing fertility rates.