The Correlation between Fertility and the Female Labor Force Participation Rate at the Local Level in Korea

Abstract

The purpose of this study is to analyze the impact of labor market institutions at the local level on fertility in Korea. The results from multi-level analysis indicate that regional labor market institutions influence fertility and fertility decisions. The female labor force participation rate is positively associated with women’s total number of children and fertility intention, whereas the rate of the wage workers among childbearing age women is negatively associated with women’s total number of children and fertility intention. In order to foster an environment that is more favorable to childbirth and childcare, Korean policymakers need to increase female labor force participation while taking steps to improve the working conditions for wage-earning women at the same time