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Collective Labor Supply with Children

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  • Richard Blundell
  • Pierre-Andr� Chiappori
  • Costas Meghir

Abstract

We extend the collective model of household behavior to allow for the existence of public consumption. We show how this model allows the analysis of welfare consequences of policies aimed at changing the distribution of power within the household. Our setting provides a conceptual framework for addressing issues linked to the "targeting" of specific benefits or taxes. We also show that the observation of the labor supplies and the household demand for the public good allow one to identify individual welfare and the decision process. This requires either a separability assumption or the presence of a distribution factor.

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Bibliographic Info

Article provided by University of Chicago Press in its journal Journal of Political Economy.

Volume (Year): 113 (2005)
Issue (Month): 6 (December)
Pages: 1277-1306

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Handle: RePEc:ucp:jpolec:v:113:y:2005:i:6:p:1277-1306

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  1. Fortin, Bernard & Lacroix, Guy, 1997. "A Test of the Unitary and Collective Models of Household Labour Supply," Economic Journal, Royal Economic Society, vol. 107(443), pages 933-55, July.
  2. 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.
  3. Yuk-Fai, Fong & Junsen, Zhang, 1998. "The Identification of Unobservable Independent and Spousal Leisure," Departmental Working Papers _093, Chinese University of Hong Kong, Department of Economics.
  4. Chiappori, Pierre-Andre, 1992. "Collective Labor Supply and Welfare," Journal of Political Economy, University of Chicago Press, vol. 100(3), pages 437-67, June.
  5. Chiappori, Pierre-André & Fortin, Bernard & Lacroix, Guy, 1998. "Household Labor Supply, Sharing Rule and the Marriage Market," Cahiers de recherche 9810, Université Laval - Département d'économique.
  6. Chiappori, Pierre-Andre, 1988. "Rational Household Labor Supply," Econometrica, Econometric Society, vol. 56(1), pages 63-90, January.
  7. Fortin, B. & Lacroix, G., 1993. "A Test of the Neoclassical and Collective Models of Household Labour Supply," Papers 9335, Laval - Recherche en Politique Economique.
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