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Identification and estimation of a class of household production models

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Author Info
Marcel Kerkhofs (Institute for Labour Studies, Tilburg University, The Netherlands)
Peter Kooreman (Department of Economics, University of Groningen, POB 800, 9700 AV Groningen, The Netherlands)

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Abstract

We consider a class of household production models characterized by a dichotomy property. In these models the amount of time spent on household production does not depend on the household utility function, conditional on household members having a paid job. We analyse the (non-parametric) identifiability of the production function and the so-called jointness function (a function describing which part of household production time is counted as pure leisure). It is shown that the models are identified in the two-adult case, but not in the single-adult case. We present an empirical application to Swedish time-allocation data. The estimates satisfy regularity conditions that were violated in previous studies and pass various specification tests. For this data set we find that male and female home production time are q-substitutes. Copyright © 2003 John Wiley & Sons, Ltd.

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File URL: http://hdl.handle.net/10.1002/jae.706
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Publisher Info
Article provided by John Wiley & Sons, Ltd. in its journal Journal of Applied Econometrics.

Volume (Year): 18 (2003)
Issue (Month): 3 ()
Pages: 337-369
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Handle: RePEc:jae:japmet:v:18:y:2003:i:3:p:337-369

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. 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.
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  2. Sato, Ryuzo & Koizumi, Tetsunori, 1973. "On the Elasticities of Substitution and Complementarity," Oxford Economic Papers, Oxford University Press, vol. 25(1), pages 44-56, March. [Downloadable!] (restricted)
  3. Gronau, Reuben, 1980. "Home Production-A Forgotten Industry," The Review of Economics and Statistics, MIT Press, vol. 62(3), pages 408-16, August. [Downloadable!] (restricted)
  4. Newey, Whitney K, 1985. "Maximum Likelihood Specification Testing and Conditional Moment Tests," Econometrica, Econometric Society, vol. 53(5), pages 1047-70, September. [Downloadable!] (restricted)
  5. Pollak, Robert A & Wachter, Michael L, 1975. "The Relevance of the Household Production Function and Its Implications for the Allocation of Time," Journal of Political Economy, University of Chicago Press, vol. 83(2), pages 255-77, April. [Downloadable!] (restricted)
  6. Graham, John W & Green, Carole A, 1984. "Estimating the Parameters of a Household Production Function with Joint Products," The Review of Economics and Statistics, MIT Press, vol. 66(2), pages 277-82, May. [Downloadable!] (restricted)
  7. Apps, Patricia F & Rees, Ray, 1997. "Collective Labor Supply and Household Production," Journal of Political Economy, University of Chicago Press, vol. 105(1), pages 178-90, February.
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  1. Jacobsen, Joyce P. & Kooreman, Peter, 2004. "Timing Constraints and the Allocation of Time: The Effects of Changing Shopping Hours Regulations in the Netherlands," IZA Discussion Papers 1309, Institute for the Study of Labor (IZA). [Downloadable!]
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  2. Schwierz, Christoph, 2003. "The Effects of Taxes and Socioeconomic Variables on Market Work and Home Production in Norway in the Years 1970 to 2000," Memorandum 33/2003, Oslo University, Department of Economics. [Downloadable!]
  3. Mauro Mastrogiacomo & Nicole Voskuilen-Bosch, 2006. "Income incentives to labour participation and home production; the contribution of the tax credits in the Netherlands," CPB Discussion Papers 59, CPB Netherlands Bureau for Economic Policy Analysis. [Downloadable!]
  4. Christos Koulovatianos & Carsten Schröder & Ulrich Schmidt, 2006. "Non-Market Household Time and the cost of Children," Vienna Economics Papers 0606, University of Vienna, Department of Economics. [Downloadable!]
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