TY  - RPRT
        AU  - Cervellati, Matteo
AU  - Sunde, Uwe
        TI  - Human Capital, Mortality and Fertility: A Unified Theory of the Economic and Demographic Transition
        PY  - 2007/Jul/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 2905
        UR  - https://www.iza.org/index.php/publications/dp2905
        AB  - This paper argues that accounting for the dynamic interactions between endogenous changes in longevity, the education composition of the population, and the associated fertility differential is crucial for understanding the economic and the demographic transition. In the model, heterogeneous individuals make optimal decisions about fertility, education of their children and type and intensity of investments in their own education. The interplay between different dimensions of mortality, and education and fertility decisions delivers a phase transition that replicates stylized facts that previously have been difficult to reconcile. Simulations illustrate the model dynamics and their consistency with historical and cross-country data.
        KW  - demographic transition
KW  - endogenous life expectancy
KW  - child mortality
KW  - heterogeneous human capital
KW  - technological change
KW  - long-term development
KW  - industrial revolution
        ER  -