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Family Policy with Non-cooperative Families

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  • Konrad, Kai A
  • Lommerud, Kjell Erik

Abstract

The authors consider a noncooperative model of a family's time allocation between market work and providing a home-produced family public good (such as child care or care for the elderly). The model predicts underprovision of the public good. Because of crowding out, this does not necessarily warrant public provision. In contrast to other approaches in family economics, the authors find that attempts to redistribute between spouses may alter the final distribution within the marriage and that such a policy may be Pareto improving. They also find that some degree of progressivity of the income tax can be welfare improving. Copyright 1995 by The editors of the Scandinavian Journal of Economics.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Scandinavian Journal of Economics.

Volume (Year): 97 (1995)
Issue (Month): 4 (December)
Pages: 581-601

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Handle: RePEc:bla:scandj:v:97:y:1995:i:4:p:581-601

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Web page: http://onlinelibrary.wiley.com/journal/10.1111/(ISSN)1467-9442

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Web: http://www.blackwellpublishing.com/subs.asp?ref=0347-0520

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