An increase in female non-agricultural wage employmentopportunities is likely to reduce birth rates if the price effectis stronger than the income effect. Explain with a graph.
You have been asked by the minister of the economy in yourcountry to make policy recommendations pertaining to your country’shigh rate of growth of population growth among the poor. Displeasedwith the prospect of growing poverty the minister is hesitatingbetween providing subsidies to poor families to reward them for fewchildren or increasing funding to health care. Not being able toafford both policies, which of the two areas will you suggest thatfunds be allocated to? Write a report to the minister, justifyingyour choice and explaining why you think that your chosen area willcontribute most to reducing poverty among the poor. Make sure tolook at the problem from all sides.
