There is a global trend of falling household sizes over time, though an international comparison quickly reveals that this reduction is not uniform across countries. Apart from tradition, economic variables are influential in determining how many people live together in one household. We have tried to capture this relationship with a pooled cross-section of 38 countries and data for different years between 1960 and 2006. The dependent variable is the average household size. As explanatory variables we have used the fertility rate, the urbanisation rate and real per capita GDP (constant 2000 USD). A fixed effects approach was used to.
