Distributional effects in household models: separate spheres and income pooling
Abstract
We derive distributional effects for a non-cooperative alternative to the unitary model of household behaviour. We consider the Nash equilibria of a voluntary contributions to public goods game. Our main result is that, in general, the two partners either choose to contribute to di¤erent public goods or they contribute to at most one common good. The former case corresponds to the separate spheres case of Lundberg and Pollak (1993). The second outcome yields (local) income pooling. A household will be in different regimes depending on the distribution of income within the household. Any bargaining model with this non-cooperative case as a breakdown point will inherit the local income pooling. We conclude that targeting benefits such as child benefits to one household member may not always have an effect on outcomes.Download Info
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Paper provided by Institute for Fiscal Studies in its series IFS Working Papers with number W07/03.Length: 13 pp.
Date of creation: Jan 2007
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Handle: RePEc:ifs:ifsewp:07/03
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Keywords:Other versions of this item:
- Martin Browning & Pierre-André Chiappori & Valérie Lechene, 2010. "Distributional Effects in Household Models: Separate Spheres and Income Pooling," Economic Journal, Royal Economic Society, vol. 120(545), pages 786-799, 06.
- Martin Browning & Valerie Lechene & Pierre-Andre Chiappori, 2006. "Distributional effects in household models: separate spheres and income pooling," Economics Series Working Papers 293, University of Oxford, Department of Economics.
- Martin Browning & Pierre-André Chiappori & Valérie Lechene, 2005. "Distributional Effects in Household Models: Separate Spheres and Income Pooling," CAM Working Papers 2005-08, University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics.
- D10 - Microeconomics - - Household Behavior - - - General
- C71 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Cooperative Games
- C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-02-24 (All new papers)
References
References listed on IDEASPlease report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- d’ASPREMONT, Claude & DOS SANTOS FERREIRA, Rodolphe, 2009.
"Household behavior and individual autonomy,"
CORE Discussion Papers
2009022, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Claude d’Aspremont & Rodolphe Dos Santos Ferreira, 2009. "Household behavior and individual autonomy," Working Papers of BETA 2009-17, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
- Jens Bonke & Hans Uldall-Poulsen, 2007. "Why do families actually pool their income? Evidence from Denmark," Review of Economics of the Household, Springer, vol. 5(2), pages 113-128, June.
- Melanie Lührmann & Jürgen Maurer, 2007.
"Who wears the trousers? A semiparametric analysis of decision power in couples,"
CeMMAP working papers
CWP25/07, Centre for Microdata Methods and Practice, Institute for Fiscal Studies.
- Melanie Lührmann & Jürgen Maurer, 2008. "Who wears the trousers? A semiparametric analysis of decision power in couples," MEA discussion paper series 08168, Munich Center for the Economics of Aging (MEA) at the Max Planck Institute for Social Law and Social Policy.
- Valérie Lechene & Ian Preston, 2008.
"Non cooperative household demand,"
IFS Working Papers
W08/14, Institute for Fiscal Studies.
- Lechene, Valérie & Preston, Ian, 2011. "Noncooperative household demand," Journal of Economic Theory, Elsevier, vol. 146(2), pages 504-527, March.
- Lechene, V & Preston, I, 2011. "Noncooperative household demand," Open Access publications from University College London http://discovery.ucl.ac.u, University College London.
- Valérie Lechene & Ian Preston, 2010. "Non cooperative household demand," IFS Working Papers W10/18, Institute for Fiscal Studies.
- Cherchye, L.J.H. & Demuynck, T. & Rock, B. de, 2009.
"Degrees of Cooperation in Household Consumption Models: A Revealed Preference Analysis,"
Discussion Paper
2009-91, Tilburg University, Center for Economic Research.
- Cherchye, Laurens & Demuynck, Thomas & De Rock, Bram, 2009. "Degrees of cooperation in household consumption models: a revealed preference analysis," Open Access publications from Katholieke Universiteit Leuven urn:hdl:123456789/252064, Katholieke Universiteit Leuven.
- Laurens CHERCHYE & Thomas DEMUYNCK & Bram DE ROCK, 2009. "Degrees of cooperation in household consumption models: a revealed preference analysis," Center for Economic Studies - Discussion papers ces09.20, Katholieke Universiteit Leuven, Centrum voor Economische Studiën.
- Valerie Lechene & Martin Browning, 2006. "Quelques resultats sur l`effet des transferts cibles," Economics Series Working Papers 294, University of Oxford, Department of Economics.
- Cherchye, Laurens & Demuynck, Thomas & De Rock, Bram, 2010.
"Noncooperative household consumption with caring,"
Open Access publications from Katholieke Universiteit Leuven
urn:hdl:123456789/289289, Katholieke Universiteit Leuven.
- Cherchye, L.J.H. & Demuynck, T. & Rock, B. de, 2011. "Noncooperative Household Consumption with Caring," Discussion Paper 2011-019, Tilburg University, Center for Economic Research.
- Laurens CHERCHYE & Thomas DEMUYNCK & Bram DE ROCK, 2010. "Noncooperative household consumption with caring," Center for Economic Studies - Discussion papers ces10.34, Katholieke Universiteit Leuven, Centrum voor Economische Studiën.
- Miriam Beblo & Denis Beninger, 2012. "Do husbands and wives pool their incomes? Experimental evidence," Working Papers of BETA 2012-10, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
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