Household Negotiation and Labor Supply: Evidence from the BHPS
AbstractIn this paper, we estimate a collective model of household labour supply à la Chiappori on British two-earner couples, using data from the British Household Panel Survey (BHPS). We find that family members do not pool their resources: the unitary model is rejected. We estimate a sharing rule representing the negotiation process inside the household, introducing a number of original distribution factors, such as political and religious involvement and parents’ occupational level. We do not find any significant impact of marriage market opportunities on the balance of power inside the couple. We emphasise that the sharing rule should be interpreted carefully when analysing intra-family inequality issues.
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Bibliographic InfoPaper provided by Institut d'economie publique (IDEP), Marseille, France in its series IDEP Working Papers with number 0201.
Length: 30 pages
Date of creation: 24 May 2002
Date of revision: 24 May 2002
Labour Supply; Collective Model; Sharing Rule; Marriage Market.;
Find related papers by JEL classification:
- C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
- C71 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Cooperative Games
- D10 - Microeconomics - - Household Behavior - - - General
- J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
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- Jeyle Ortiz Rodríguez, 2012. "Modelación de decisiones laborales de los padres y las madres de Nuevo León: aplicación de los modelos de negociación," Ensayos Revista de Economia, Universidad Autonoma de Nuevo Leon, Facultad de Economia, vol. 0(1), pages 35-74, May.
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