Researchers at the University of Maryland found that higher home prices lead to an increase in the number of births in a home. Some of the more interesting points include:

• Researchers estimate that a 10% increase in house prices would lead to a 4% increase in births
• While the paper does not include data from 2008 onwards, it should be noted that housing prices dropped 18% in 2008 while birth rates fell by 2%
• With the continued uncertainty in the housing markets, America’s fertility may continue to fall.

To find out how the effect varies by ethnicity read the paper here.

Source: NBER

Via: Freakonomics