IDEAS home Printed from https://ideas.repec.org/a/eee/ecotra/v24y2020ics2212012220301295.html
   My bibliography  Save this article

A new look at the value of leisure in two-worker households

Author

Listed:
  • Jara-Díaz, Sergio
  • Candia, Diego

Abstract

We depart from the individual view behind those time allocation models aimed at the calculation of the value of leisure (VoL) when dealing with two-worker households, as this (prevailing) view requires approximations and assumptions that do not hold well. As the existing theories that consider the household deals with time allocation but not with time values, we propose an integration of some elements of both theories, generating a model with a collective view from which the VoL can be obtained. We argue theoretically that this model yields larger VoL and contains elements that should diminish the possible gap in VoL between the workers. The improved model is applied using Chilean data verifying its theoretical properties at various levels and correcting counterintuitive results obtained with the individual model.

Suggested Citation

  • Jara-Díaz, Sergio & Candia, Diego, 2020. "A new look at the value of leisure in two-worker households," Economics of Transportation, Elsevier, vol. 24(C).
    • Handle: RePEc:eee:ecotra:v:24:y:2020:i:c:s2212012220301295
    DOI: 10.1016/j.ecotra.2020.100193
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S2212012220301295
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.ecotra.2020.100193?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Becker, Gary S, 1974. "A Theory of Social Interactions," Journal of Political Economy, University of Chicago Press, vol. 82(6), pages 1063-1093, Nov.-Dec..
    2. Truong, Truong P & Hensher, David A, 1985. "Measurement of Travel Time Values and Opportunity Cost from a Discrete-Choice Model," Economic Journal, Royal Economic Society, vol. 95(378), pages 438-451, June.
    3. Reinhard Hössinger & Florian Aschauer & Sergio Jara-Díaz & Simona Jokubauskaite & Basil Schmid & Stefanie Peer & Kay W. Axhausen & Regine Gerike, 2020. "A joint time-assignment and expenditure-allocation model: value of leisure and value of time assigned to travel for specific population segments," Transportation, Springer, vol. 47(3), pages 1439-1475, June.
    4. Jokubauskaitė, Simona & Hössinger, Reinhard & Aschauer, Florian & Gerike, Regine & Jara-Díaz, Sergio & Peer, Stefanie & Schmid, Basil & Axhausen, Kay W. & Leisch, Friedrich, 2019. "Advanced continuous-discrete model for joint time-use expenditure and mode choice estimation," Transportation Research Part B: Methodological, Elsevier, vol. 129(C), pages 397-421.
    5. Jara-Díaz, Sergio R. & Astroza, Sebastian & Bhat, Chandra R. & Castro, Marisol, 2016. "Introducing relations between activities and goods consumption in microeconomic time use models," Transportation Research Part B: Methodological, Elsevier, vol. 93(PA), pages 162-180.
    6. Frederic Vermeulen, 2002. "Collective Household Models: Principles and Main Results," Journal of Economic Surveys, Wiley Blackwell, vol. 16(4), pages 533-564, September.
    7. Apps, P. F. & Rees, R., 1996. "Labour supply, household production and intra-family welfare distribution," Journal of Public Economics, Elsevier, vol. 60(2), pages 199-219, May.
    8. Rosales-Salas, Jorge & Jara-Díaz, Sergio R., 2017. "A time allocation model considering external providers," Transportation Research Part B: Methodological, Elsevier, vol. 100(C), pages 175-195.
    9. Sergio R. Jara-Diaz & Cristián A. Guevara, 2003. "Behind the Subjective Value of Travel Time Savings," Journal of Transport Economics and Policy, University of Bath, vol. 37(1), pages 29-46, January.
    10. Vuong, Quang H, 1989. "Likelihood Ratio Tests for Model Selection and Non-nested Hypotheses," Econometrica, Econometric Society, vol. 57(2), pages 307-333, March.
    11. Paul A. Samuelson, 1956. "Social Indifference Curves," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 70(1), pages 1-22.
    12. Manser, Marilyn & Brown, Murray, 1980. "Marriage and Household Decision-Making: A Bargaining Analysis," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 21(1), pages 31-44, February.
    13. Bergstrom, Theodore & Blume, Lawrence & Varian, Hal, 1986. "On the private provision of public goods," Journal of Public Economics, Elsevier, vol. 29(1), pages 25-49, February.
    14. Apps, Patricia F. & Rees, Ray, 1988. "Taxation and the household," Journal of Public Economics, Elsevier, vol. 35(3), pages 355-369, April.
    15. Apps, P.F. & Killingsworth, M. & Rees, R., 1996. "On the Specification of Labour Supply and Household Production Models," Papers 300, Australian National University - Department of Economics.
    16. Lundberg, Shelly & Pollak, Robert A, 1993. "Separate Spheres Bargaining and the Marriage Market," Journal of Political Economy, University of Chicago Press, vol. 101(6), pages 988-1010, December.
    17. Calastri, Chiara & Hess, Stephane & Daly, Andrew & Carrasco, Juan Antonio, 2017. "Does the social context help with understanding and predicting the choice of activity type and duration? An application of the Multiple Discrete-Continuous Nested Extreme Value model to activity diary," Transportation Research Part A: Policy and Practice, Elsevier, vol. 104(C), pages 1-20.
    18. Marcela Munizaga & Sergio Jara-Díaz & Paulina Greeven & Chandra Bhat, 2008. "Econometric Calibration of the Joint Time Assignment--Mode Choice Model," Transportation Science, INFORMS, vol. 42(2), pages 208-219, May.
    19. Evans, Alan W, 1972. "On the Theory of the Valuation and Allocation of Time," Scottish Journal of Political Economy, Scottish Economic Society, vol. 19(1), pages 1-17, February.
    20. Sergio Jara-Díaz & Marcela Munizaga & Javiera Olguín, 2013. "The role of gender, age and location in the values of work behind time use patterns in Santiago, Chile," Papers in Regional Science, Wiley Blackwell, vol. 92(1), pages 87-102, March.
    21. Jara-Diaz, Sergio, 2020. "Transport and time use: The values of leisure, work and travel," Transport Policy, Elsevier, vol. 86(C), pages 7-13.
    22. Pinjari, Abdul Rawoof & Bhat, Chandra, 2010. "A multiple discrete-continuous nested extreme value (MDCNEV) model: Formulation and application to non-worker activity time-use and timing behavior on weekdays," Transportation Research Part B: Methodological, Elsevier, vol. 44(4), pages 562-583, May.
    23. Pollak, Robert A, 1985. "A Transaction Cost Approach to Families and Households," Journal of Economic Literature, American Economic Association, vol. 23(2), pages 581-608, June.
    24. Bernardo, Christina & Paleti, Rajesh & Hoklas, Megan & Bhat, Chandra, 2015. "An empirical investigation into the time-use and activity patterns of dual-earner couples with and without young children," Transportation Research Part A: Policy and Practice, Elsevier, vol. 76(C), pages 71-91.
    25. Chiappori, Pierre-Andre, 1988. "Rational Household Labor Supply," Econometrica, Econometric Society, vol. 56(1), pages 63-90, January.
    26. Chiappori, Pierre-Andre, 1997. "Introducing Household Production in Collective Models of Labor Supply," Journal of Political Economy, University of Chicago Press, vol. 105(1), pages 191-209, February.
    27. Chen, Zhiqi & Woolley, Frances, 2001. "A Cournot-Nash Model of Family Decision Making," Economic Journal, Royal Economic Society, vol. 111(474), pages 722-748, October.
    28. Jara-Díaz, Sergio & Rosales-Salas, Jorge, 2015. "Understanding time use: Daily or weekly data?," Transportation Research Part A: Policy and Practice, Elsevier, vol. 76(C), pages 38-57.
    29. Chiappori, Pierre-Andre, 1992. "Collective Labor Supply and Welfare," Journal of Political Economy, University of Chicago Press, vol. 100(3), pages 437-467, June.
    30. DeSerpa, A C, 1971. "A Theory of the Economics of Time," Economic Journal, Royal Economic Society, vol. 81(324), pages 828-846, December.
    31. Bates, John J, 1987. "Measuring Travel Time Values with a Discrete Choice Model: A Note," Economic Journal, Royal Economic Society, vol. 97(386), pages 493-498, June.
    32. Jara-Díaz, Sergio R. & Munizaga, Marcela A. & Greeven, Paulina & Guerra, Reinaldo & Axhausen, Kay, 2008. "Estimating the value of leisure from a time allocation model," Transportation Research Part B: Methodological, Elsevier, vol. 42(10), pages 946-957, December.
    33. Pierre-Andre Chiappori & Maurizio Mazzocco, 2017. "Static and Intertemporal Household Decisions," Journal of Economic Literature, American Economic Association, vol. 55(3), pages 985-1045, September.
    34. Jane H. Leuthold, 1968. "An Empirical Study of Formula Income Transfers and the Work Decision of the Poor," Journal of Human Resources, University of Wisconsin Press, vol. 3(3), pages 312-323.
    35. McElroy, Marjorie B & Horney, Mary Jean, 1981. "Nash-Bargained Household Decisions: Toward a Generalization of the Theory of Demand," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 22(2), pages 333-349, June.
    36. Castro, Marisol & Bhat, Chandra R. & Pendyala, Ram M. & Jara-Díaz, Sergio R., 2012. "Accommodating multiple constraints in the multiple discrete–continuous extreme value (MDCEV) choice model," Transportation Research Part B: Methodological, Elsevier, vol. 46(6), pages 729-743.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hensher, David A. & Beck, Matthew J. & Balbontin, Camila, 2021. "What does the quantum of working from home do to the value of commuting time used in transport appraisal?," Transportation Research Part A: Policy and Practice, Elsevier, vol. 153(C), pages 35-51.
    2. Simona Jokubauskaitė & Reinhard Hössinger & Sergio Jara-Díaz & Stefanie Peer & Alyssa Schneebaum & Basil Schmid & Florian Aschauer & Regine Gerike & Kay W. Axhausen & Friedrich Leisch, 2022. "The role of unpaid domestic work in explaining the gender gap in the (monetary) value of leisure," Transportation, Springer, vol. 49(6), pages 1599-1625, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jara-Díaz, Sergio & Rosales-Salas, Jorge, 2017. "Beyond transport time: A review of time use modeling," Transportation Research Part A: Policy and Practice, Elsevier, vol. 97(C), pages 209-230.
    2. Chiappori, Pierre-André & Donni, Olivier, 2009. "Non-unitary Models of Household Behavior: A Survey of the Literature," IZA Discussion Papers 4603, Institute of Labor Economics (IZA).
    3. Laurens CHERCHYE & Thomas DEMUYNCK & Bram DE ROCK, 2010. "Noncooperative household consumption with caring," Working Papers of Department of Economics, Leuven ces10.34, KU Leuven, Faculty of Economics and Business (FEB), Department of Economics, Leuven.
    4. Chiappori, Pierre-André & Donni, Olivier, 2006. "Les modèles non unitaires de comportement du ménage : un survol de la littérature," L'Actualité Economique, Société Canadienne de Science Economique, vol. 82(1), pages 9-52, mars-juin.
    5. Patricia Apps & Ray Rees, 2007. "Household Models: An Historical Perspective," CESifo Working Paper Series 2172, CESifo.
    6. Olivier Bargain & Miriam Beblo & Denis Beninger & Richard Blundell & Raquel Carrasco & Maria-Concetta Chiuri & François Laisney & Valérie Lechene & Nicolas Moreau & Michal Myck & Javier Ruiz-Castillo , 2006. "Does the Representation of Household Behavior Matter for Welfare Analysis of Tax-benefit Policies? An Introduction," Review of Economics of the Household, Springer, vol. 4(2), pages 99-111, June.
    7. Boone, J. & van der Wiel, K.M. & Vermeulen, F.M.P., 2009. "Kinky Choices, Dictators and Split Might : A Non-Cooperative Model for Household Consumption and Labor Supply," Other publications TiSEM c676a180-63ce-48c1-bd51-e, Tilburg University, School of Economics and Management.
    8. Laurens Cherchye & Thomas Demuynck & Bram De Rock, 2011. "Revealed Preference Analysis of Non‐Cooperative Household Consumption," Economic Journal, Royal Economic Society, vol. 121(555), pages 1073-1096, September.
    9. Kato, Hironori & Matsumoto, Manabu, 2009. "Intra-household interaction in a nuclear family: A utility-maximizing approach," Transportation Research Part B: Methodological, Elsevier, vol. 43(2), pages 191-203, February.
    10. Kristian Orsini & Amadéo Spadaro, 2006. "Strategic weight within couples: a microsimulation approach," Working Papers halshs-00590395, HAL.
    11. Keita, Moussa, 2011. "Influence de la négociation intra-ménage sur les dépenses d’éducation dans les ménages au Mali [Influence of intra-household bargaining on education expenditures in households in Mali]," MPRA Paper 57592, University Library of Munich, Germany.
    12. Martin Browning & Valérie Lechene, 2001. "Caring and Sharing: Tests Between Alternative Models of Intra-household Allocation," Discussion Papers 01-07, University of Copenhagen. Department of Economics.
    13. Alistair Munro, 2018. "Intra†Household Experiments: A Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 32(1), pages 134-175, February.
    14. Jokubauskaitė, Simona & Hössinger, Reinhard & Aschauer, Florian & Gerike, Regine & Jara-Díaz, Sergio & Peer, Stefanie & Schmid, Basil & Axhausen, Kay W. & Leisch, Friedrich, 2019. "Advanced continuous-discrete model for joint time-use expenditure and mode choice estimation," Transportation Research Part B: Methodological, Elsevier, vol. 129(C), pages 397-421.
    15. Olivier Bargain & Nicolas Moreau, 2002. "Is the collective model of labor supply useful for tax policy analysis ? A simulation exercise," DELTA Working Papers 2002-21, DELTA (Ecole normale supérieure).
    16. Alberto Alesina & Andrea Ichino & Loukas Karabarbounis, 2011. "Gender-Based Taxation and the Division of Family Chores," American Economic Journal: Economic Policy, American Economic Association, vol. 3(2), pages 1-40, May.
    17. Laurens Cherchye & Sam Cosaert & Thomas Demuynck & Bram De Rock, 2020. "Group Consumption with Caring Individuals," The Economic Journal, Royal Economic Society, vol. 130(627), pages 587-622.
    18. Malapit, Hazel Jean L., 2012. "Why do spouses hide income?," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 41(5), pages 584-593.
    19. Miriam Beblo & Denis Beninger, 2017. "Do husbands and wives pool their incomes? A couple experiment," Review of Economics of the Household, Springer, vol. 15(3), pages 779-805, September.
    20. J. Gimenez-Nadal & Jose Molina, 2013. "Parents’ education as a determinant of educational childcare time," Journal of Population Economics, Springer;European Society for Population Economics, vol. 26(2), pages 719-749, April.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecotra:v:24:y:2020:i:c:s2212012220301295. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/ecotra .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.