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We present a growth model whose novelty is to explicitly account for the direct, preference-related factors that reinforce the delay in the timing of childbearing. Given the strength of these factors, the model generates the empirically observed dynamics in completed cohort fertility. Furthermore, the quantitative analysis of our results verifies that our model provides a good fit for actual data of the rebound of the completed cohort fertility rates in Nordic countries. The fact that these countries are widely considered as the most progressive ones, in terms of their cultural norms and in terms of their family-oriented policies, offers credence to the hypothesis that our model advances. More generally, our framework provides a platform for research that can uncover empirically relevant, but yet unexplored, mechanisms in the joint analysis of demographic change and economic growth. [ABSTRACT FROM AUTHOR]

The controversies on the relationship (called 'gradient') between the time trend of GDP and of subjective well-being oppose those who claim that the gradient is positive, to those who argue that it is nil. The possible existence of significant changes of the two trends and of the gradient within the same country is a challenge to both views. By focusing on the case of Italy, we show that the long-run trends of GDP and of well-being turned from increasing to decreasing, and that the gradient exhibits a rise through two structural breaks. This evidence is consistent with the 'loss aversion' hypothesis. From this macro-analysis we further go into micro-analysis to explain why subjective well-being declined so steeply. We find that the erosion of trust in others, the increase of financial dissatisfaction, worsened health, and greater importance of income contribute to the decline of subjective well-being. As far as we know, this is the first attempt to test the role of loss aversion in the long run using both macro- and micro-economic approaches. [ABSTRACT FROM AUTHOR]

The controversies on the relationship (called 'gradient') between the time trend of GDP and of subjective well-being oppose those who claim that the gradient is positive, to those who argue that it is nil. The possible existence of significant changes of the two trends and of the gradient within the same country is a challenge to both views. By focusing on the case of Italy, we show that the long-run trends of GDP and of well-being turned from increasing to decreasing, and that the gradient exhibits a rise through two structural breaks. This evidence is consistent with the 'loss aversion' hypothesis. From this macro-analysis we further go into micro-analysis to explain why subjective well-being declined so steeply. We find that the erosion of trust in others, the increase of financial dissatisfaction, worsened health, and greater importance of income contribute to the decline of subjective well-being. As far as we know, this is the first attempt to test the role of loss aversion in the long run using both macro- and micro-economic approaches. [ABSTRACT FROM AUTHOR]