Q1: Can you briefly explain the idea of replacement-level fertility?
A1: It is a level of fertility in which the generation can replace itself without any intervention of the government. According to the United Nations, each woman has to give birth to 2.1 children to maintain the replacement-level fertility.
Q2: What model have we adopted in this analysis? Can you also list out three of the variables we have tested against the fertility rate?
A2: Linear regression model. Variables tested: Female Unemployment Rate, Housing Prices Indicator, Education Index, Political Risk Index, Average Weekly Working Hour, Consumer Price Index, Average Annual Wage Growth Rate, Carbon Dioxide Emission, Crude Marriage Rate, Female Life Expectancy (Any three of these are correct)
Q3: How is annual average wage growth rate affecting the fertility level?
A3: Annual average wage growth rate has positively affected the fertility level. A higher annual average wage growth rate implies a larger source of income. The family can save up more money for childbearing. They will find it easier to afford the cost of having a child, and therefore fertility rate increases.