This paper tests, using data from South Africa and Pakistan, two major implications of the unitary household model, namely, that (a) each individual pools the various components of her/his non labour earnings, and (b) men and women pool their non labour earnings between themselves. The study uses a three stage least squares procedure that, besides recognising the endogeneity of all the income variables, allows for simultaneity between all the income and expenditure equations.
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Paper provided by Tasmania - Department of Economics in its series Papers with number
2000-09.
Find related papers by JEL classification: I32 - Health, Education, and Welfare - - Welfare and Poverty - - - Measurement and Analysis of Poverty I38 - Health, Education, and Welfare - - Welfare and Poverty - - - Government Programs; Provision and Effects of Welfare Programs D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions
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