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Strategic weight within couples: a microsimulation approach

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  • Kristian Orsini

    (CES - Center for Economic Studies - Université Catholique de Louvain (UCL) - Belgique)

  • Amadéo Spadaro

    (PSE - Paris-Jourdan Sciences Economiques - CNRS : UMR8545 - École des Hautes Études en Sciences Sociales (EHESS) - École des Ponts ParisTech (ENPC) - École normale supérieure [ENS] - Paris, FEDEA - Fundacion de estudios de economia aplicada - FEDEA, Universitat de les Illes Balears - Universitat de les Illes Balears)

Abstract

Individual strategic weight plays an important role in the intra-household allocation of resources; however, empirical studies invariably find such weight difficult to define in a plausible and computable way, given the available data. This paper proposes a framework for the calculation of household members' strategic weight that can be easily computed using a microsimulation model. The index proposed for each member as the share of resources the household would lose should he or she abandon it. The causes of strategic weight differentials are analysed in four EU countries with significantly different employment structure and tax-benefit systems (Finland, Germany, Italy and the United Kingdom), using EUROMOD, an integrated EU-15 microsimulation model.

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Bibliographic Info

Paper provided by HAL in its series PSE Working Papers with number halshs-00590395.

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Date of creation: Oct 2006
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Handle: RePEc:hal:psewpa:halshs-00590395

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Keywords: individual strategic weight ; microsimulation ; tax-benefit systems;

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  1. Lundberg, S. & Pollak, R.A., 1991. "Separate Spheres Bargaining and the Marriage Market," Discussion Papers in Economics at the University of Washington 91-08, Department of Economics at the University of Washington.
  2. Becker, Gary S, 1974. "A Theory of Marriage: Part II," Journal of Political Economy, University of Chicago Press, vol. 82(2), pages S11-S26, Part II, .
  3. Grossbard-Shechtman, Shoshana Amyra & Neuman, Shoshana, 1988. "Women's Labor Supply and Marital Choice," Journal of Political Economy, University of Chicago Press, vol. 96(6), pages 1294-1302, December.
  4. Alderman, H. & Chiappori, P.A. & Haddad, L., 1994. "Unitary versus Collective Models of the Household: Time to Shift the Burden of Proof?," DELTA Working Papers 94-17, DELTA (Ecole normale supérieure).
  5. Grossbard-Shechtman, Shoshana Amyra, 1984. "A Theory of Allocation of Time in Markets for Labour and Marriage," Economic Journal, Royal Economic Society, vol. 94(376), pages 863-82, December.
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