IDEAS home Printed from https://ideas.repec.org/a/spr/soinre/v139y2018i2d10.1007_s11205-017-1722-1.html
   My bibliography  Save this article

The Changes of Cost of Children for Turkey by Using Income-Dependent Equivalence Scales

Author

Listed:
  • Raziye Selim

    (Istanbul Technical University)

  • Gizem Kaya

    (Istanbul Technical University)

Abstract

This study aims to estimate the cost of children in Turkey by using equivalence scale approach for different income levels and suggests a new commodity composition for Muslim countries. We used 2003, 2007 and 2014 household budget survey micro data set. According to the calculations of Engel equivalence scales, the cost of children decreases from 2003 to 2014 in Turkey. Since the data of 2007 is determined as reasonable consumption behaviours of Turkish households, the inequality and poverty researches can use equivalence scales calculations of 2007. If anyone wants to estimate Rothbarth equivalence scales for a Muslim country, using of “adult goods” which is defined as “expenditures of alcohol, tobacco, adult cloths and adult shoes” in literature would not be suitable. This study suggests “a new commodity group” which is “furnishing and communication”. The Engel model estimations are significant for households who are at the middle and high income level whereas the results of Rothbarth model estimations are found as significant for low and middle income groups. As a result, we recommend to use equivalence scales estimations’ results for middle income groups in the inequality and poverty researches, since this group is free from irregular expenditure behaviors and gives significant estimations for both models.

Suggested Citation

  • Raziye Selim & Gizem Kaya, 2018. "The Changes of Cost of Children for Turkey by Using Income-Dependent Equivalence Scales," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 139(2), pages 803-824, September.
    • Handle: RePEc:spr:soinre:v:139:y:2018:i:2:d:10.1007_s11205-017-1722-1
    DOI: 10.1007/s11205-017-1722-1
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11205-017-1722-1
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s11205-017-1722-1?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. Bradbury, Bruce, 1994. "Measuring the Cost of Children," Australian Economic Papers, Wiley Blackwell, vol. 33(62), pages 120-138, June.
    2. Koulovatianos, Christos & Schroder, Carsten & Schmidt, Ulrich, 2005. "On the income dependence of equivalence scales," Journal of Public Economics, Elsevier, vol. 89(5-6), pages 967-996, June.
    3. Ray, Ranjan, 1983. "Measuring the costs of children : An alternative approach," Journal of Public Economics, Elsevier, vol. 22(1), pages 89-102, October.
    4. Maneka Savithri Jayasinghe & Christine Smith & Andreas Chai & Shyama Ratnasiri, 2016. "The implications of income dependent equivalence scales for measuring poverty in Sri Lanka," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 43(12), pages 1300-1314, December.
    5. Muellbauer, John, 1974. "Household composition, Engel curves and welfare comparisons between households : A duality approach," European Economic Review, Elsevier, vol. 5(2), pages 103-122, August.
    6. Tsakloglou, Panos, 1991. "Estimation and Comparison of Two Simple Models of Equivalence Scales for the Cost of Children," Economic Journal, Royal Economic Society, vol. 101(405), pages 343-357, March.
    7. Masako Oyama, 2006. "Measuring cost of children using equivalence scale on Japanese panel data," Applied Economics Letters, Taylor & Francis Journals, vol. 13(7), pages 409-415.
    8. Thomas Espenshade, 1974. "Estimating the cost of children and some results from urban United States," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 1(3), pages 359-381, December.
    9. Gronau, Reuben, 1988. "Consumption Technology and the Intrafamily Distribution of Resources:," Journal of Political Economy, University of Chicago Press, vol. 96(6), pages 1183-1205, December.
    10. Deaton, Angus S & Muellbauer, John, 1986. "On Measuring Child Costs: With Applications to Poor Countries," Journal of Political Economy, University of Chicago Press, vol. 94(4), pages 720-744, August.
    11. Shelley Phipps & Thesia I. Garner, 1994. "Are Equivalence Scales The Same For The United States And Canada?," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 40(1), pages 1-17, March.
    12. Bosch-Domenech, Antoni, 1991. "Economies of scale, location, age, and sex discrimination in household demand," European Economic Review, Elsevier, vol. 35(8), pages 1589-1595, December.
    13. Betti Gianni & Karadag Mehmet Ali & Sarica Ozlem & Ucar Baris, 2017. "Regional differences in equivalence scales in Turkey," Экономика региона, CyberLeninka;Федеральное государственное бюджетное учреждение науки «Институт экономики Уральского отделения Российской академии наук», vol. 13(1), pages 63-69.
    14. Lewbel, Arthur, 1989. "Household equivalence scales and welfare comparisons," Journal of Public Economics, Elsevier, vol. 39(3), pages 377-391, August.
    15. Dr Justin van de Ven, 2004. "Demand Based Equivalence Scale Estimates for Australia and the UK," National Institute of Economic and Social Research (NIESR) Discussion Papers 228, National Institute of Economic and Social Research.
    16. Daron Acemoglu & Murat Ucer, 2015. "The Ups and Downs of Turkish Growth, 2002-2015: Political Dynamics, the European Union and the Institutional Slide," NBER Working Papers 21608, National Bureau of Economic Research, Inc.
    17. Geoffrey Lancaster & Ranjan Ray, 1998. "Comparison of Alternative Models of Household Equivalence Scales: The Australian Evidence on Unit Record Data," The Economic Record, The Economic Society of Australia, vol. 74(224), pages 1-14, March.
    18. Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-326, June.
    19. Gianni Betti & Mehmet Ali Karadag & Ozlem Sarica & Baris Ucar, 2017. "How to Reduce the Impact of Equivalence Scales on Poverty Measurement: Evidence from Turkey," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 132(3), pages 1023-1035, July.
    Full references (including those not matched with items on IDEAS)

    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. Christian Dudel & Jan Marvin Garbuszus & Julian Schmied, 2021. "Assessing differences in household needs: a comparison of approaches for the estimation of equivalence scales using German expenditure data," Empirical Economics, Springer, vol. 60(4), pages 1629-1659, April.
    2. Garcia-Diaz Rocio, 2012. "Demand-Based Cost-of-Children Estimates and Child Poverty," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 12(1), pages 1-32, January.
    3. Majumder, Amita & Chakrabarty, Manisha, 2003. "Relative cost of children: the case of rural Maharashtra, India," Journal of Policy Modeling, Elsevier, vol. 25(1), pages 61-76, January.
    4. Betti Gianni & Karadag Mehmet Ali & Sarica Ozlem & Ucar Baris, 2017. "Regional differences in equivalence scales in Turkey," Экономика региона, CyberLeninka;Федеральное государственное бюджетное учреждение науки «Институт экономики Уральского отделения Российской академии наук», vol. 13(1), pages 63-69.
    5. Bargain, Olivier & Donni, Olivier, 2009. "The Measurement of Child Costs: A Rothbarth-Type Method Consistent with Scale Economies," IZA Discussion Papers 4654, Institute of Labor Economics (IZA).
    6. Pashardes, Panos, 1995. "Equivalence scales in a rank-3 demand system," Journal of Public Economics, Elsevier, vol. 58(1), pages 143-158, September.
    7. BARGAIN Olivier & DONNI Olivier, 2010. "The Measurement of Child Costs: A Rothbarth-Type Method Consistent with Scale Economies and Parents’ Bargaining," LISER Working Paper Series 2010-30, Luxembourg Institute of Socio-Economic Research (LISER).
    8. Christian Dudel & Jan Marvin Garbuszus & Notburga Ott & Martin Werding, 2015. "Income Dependent Equivalence Scales, Inequality, and Poverty," CESifo Working Paper Series 5568, CESifo.
    9. Anderson VIL, 2023. "Children Costs in a One-Headed Household: Empirical Evidence from the UK," THEMA Working Papers 2022-21, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
    10. Alois Guger & Reiner Buchegger & Hedwig Lutz & Christine Mayrhuber & Michael Wüger, 2003. "Schätzung der direkten und indirekten Kinderkosten," WIFO Studies, WIFO, number 24078, April.
    11. Panayiota Lyssiotou & Panos Pashardes, 2004. "Comparing the True Cost of Living Indices of Demographically Different Households," Bulletin of Economic Research, Wiley Blackwell, vol. 56(1), pages 21-39, January.
    12. Bruce Bradbury, 1995. "Household Semi-Public Goods and the Estimation of Consumer Equivalence Scales: Some First Steps," Microeconomics 9508001, University Library of Munich, Germany.
    13. Fabrizio Balli, 2012. "Are Traditional Equivalence Scales Still Useful? A Review and A Possible Answer," Department of Economics University of Siena 656, Department of Economics, University of Siena.
    14. Gerlinde Verbist & Wim Van Lancker, 2016. "Horizontal and Vertical Equity Objectives of Child Benefit Systems: An Empirical Assessment for European Countries," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 128(3), pages 1299-1318, September.
    15. Bargain, Olivier & Donni, Olivier, 2012. "Expenditure on children: A Rothbarth-type method consistent with scale economies and parents' bargaining," European Economic Review, Elsevier, vol. 56(4), pages 792-813.
    16. Laura Blow, 2003. "Demographics in demand systems," IFS Working Papers W03/18, Institute for Fiscal Studies.
    17. Jan Marvin Garbuszus & Notburga Ott & Sebastian Pehle & Martin Werding, 2021. "Income-dependent equivalence scales: A fresh look at German micro-data," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 19(4), pages 855-873, December.
    18. Gould, Brian W. & Lee, Yoonjung & Dong, Diansheng & Villarreal, Hector J., 2002. "Household Size And Composition Impacts On Meat Demand In Mexico: A Censored Demand System Approach," 2002 Annual meeting, July 28-31, Long Beach, CA 19722, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    19. Merz, Joachim & Garner, Thesia & Smeeding, Timothy M. & Faik, Jürgen & Johnson, David, 1994. "Two Scales, One Methodology - Expenditure Based Equivalence Scales for the United States and Germany," MPRA Paper 7233, University Library of Munich, Germany.
    20. Tess Penne & Tine Hufkens & Tim Goedeme & Berenice M L Storms, 2018. "To what extent do welfare states compensate for the cost of children? A hypothetical household approach to policy evaluations," JRC Working Papers on Taxation & Structural Reforms 2018-08, Joint Research Centre.

    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:spr:soinre:v:139:y:2018:i:2:d:10.1007_s11205-017-1722-1. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.