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This report analyzes Norway's childcare cash-benefit policy and its relation to fertility decision making among Norwegian women with respect to having a second child. Using information from Norwegian registers, which include information on education and birth timing, the study's focus was on the childcare cash-benefit policy introduced in 1998. Both acceptance of childcare cash benefits and subsequent fertility timing were strongly influenced by women's educational attainment. Norwegian couples chose different strategies concerning work, childcare, and childbearing. Those individuals who were associated with a home scenario, taking the maximum length of cash benefits, transitioned more quickly to a second birth than did others. In contrast, those individuals who were associated with a work scenario, taking none of the cash benefits, proceeded much later, whereas those associated with a mixed scenario, taking cash benefits for a shorter period, were less likely to have a second birth in the near-term but more likely later on. Mixed-scenario couples may have returned to work as a means to reestablish eligibility for parental leave benefits before having a second birth. Whereas the policy appears to have accelerated birth timing, it is not clear whether the policy has increased overall fertility levels. [ABSTRACT FROM AUTHOR]

In the Nordic countries, gender equality is an explicit policy goal. For example, Norway and Sweden both offer paid parental leave for approximately one year following childbirth with earnings-related benefits and with certain periods reserved exclusively for the father. In this study, we examine the relationship between fathers' and mothers' use of parental leave and continued childbearing among couples in Norway and Sweden. The two countries offer largely similar family policies, but differ concerning family policy context. While Sweden has a consistent policy concerning gender relations, Norway has more ambiguous family policies giving incentives both to gender equality and childrearing at home. Our study is based on event-history analyses of Nordic register data and shows that fathers' parental leave use is positively associated with continued childbearing in both Norway and Sweden, for both one- and two-child couples. The association is stronger in Norway. For two-child families, a long period of leave for the mother is positively associated with a third birth. It seems as if the two-child family is highly compatible with the combination of work and family life, but that in families who choose to have more children, the mother often seems to have a weaker work orientation. [ABSTRACT FROM AUTHOR]