When I was in grad school, my wife's health insurance policy through work allowed an employee to add a spouse for $1000 per year (I cannot remember the exact numbers, but these are close) or add a spouse and children for $2000 per year. And it didn't matter whether you had 1 child or 10.
Are employees with more kids more attractive as employees? If so, this this could be a compensating wage. Otherwise, perhaps people feel a social obligation to help support children in the society.
Robin Hanson [EMAIL PROTECTED] http://hanson.gmu.edu
Assistant Professor of Economics, George Mason University
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