uncertainty about the number of surviving children. If the marginal utility of a surviving child is convex then there will be a … precautionary demand for children. As the mortality rate and thus uncertainty falls, this demand decreases. Furthermore, lower … o is realized only if uncertainty is incorporated into individual’s optimization problem. …

construct a model in which individuals make labor/leisure choices over their lifetimes subject to uncertainty about their date … changes in the US life table over the last century, and show that this “uncertainty e ect” of declining mortality would have …