I develop a simple dynastic model in the style of Barro and Becker, with endogenous fertility and human capital … fertility is quantitatively important, heterogeneity in fertilities is sufficient to generate these results. This is because … welfare gains from more progressive subsidies are driven not only by decreases in fertility rates of low income individuals …

To design an optimal education policy, it is essential to account for the fertility differential between the poor and … economy. It is very important to consider general equilibrium effects because the change in either fertility behavior or … fertility behavior, especially differential fertility substantially underestimates the role of credit constraints in the economy …

form, where we consider endogenous fertility and growth generated by human capital accumulation. From the analysis, we … long run. If we consider a closed economy, the effect of child allowances on fertility is ambiguous and remains negative on …