Fertility in the absence of self-control

This paper studies the quantity-quality trade-o¤model of fertility, under the assumption of hyperbolic discounting. It shows that the lack of self-control may play a di¤erent role in a developed economy and in a developing one. In the …rst case characterized by a positive investment in quality, the lack of self control tends to reduce fertility. In the second case, it is possible that the lack of self-control leads both to no investment in quality and to a higher fertility rate. It is also proved that if parents cannot commit on their investment in quality, a small change of parameters may lead to a jump in fertility. JEL classi…cation: D91, J13, O12