@TechReport{iza:izadps:dp6689, author={Bethmann, Dirk and Kvasnicka, Michael}, title={A Theory of Child Adoption}, year={2012}, month={Jun}, institution={Institute of Labor Economics (IZA)}, address={Bonn}, type={IZA Discussion Paper}, number={6689}, url={https://www.iza.org/index.php/publications/dp6689}, abstract={Women can bear own children or adopt them. Extending economic theories of fertility, we provide a first theoretical treatment of the demand for adoption. We show that the propensity to adopt a child increases in the degree of own altruism, infertility, relatedness to the child, costs of own child birth, and any adoption-specific monetary return that is received net of the costs of adopting the child. Our model makes several testable predictions which receive empirical support. These include a higher propensity to adopt among infertile adults, relatives, women with high earnings potential, and celebrities.}, keywords={children;fertility;demand for adoption;adoption;altruism}, }