Income And Outcomes - A Structural Model Of Intrahousehold Allocation
AbstractThere is evidence from several sources that one cannot treat many-person households as a single decision maker. If this is the case, then factors such as the relative incomes of the household members may affect the final allocation decisions made by the household. We develop a method of identifying how ''incomes affect outcomes'' given conventional family expenditure data. The basic assumption we make is that household decision processes lead to efficient outcomes. We apply our method to a sample of Canadian couples with no children. We find that the final allocations of expenditures on each partner depend significantly on their relative incomes and ages and on the level of lifetime wealth.
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Bibliographic InfoPaper provided by University College London in its series Open Access publications from University College London with number http://discovery.ucl.ac.uk/16866/.
Date of creation: Dec 1994
Date of revision:
Publication status: Published in J POLIT ECON (1994-12) v.102, p.1067-1096
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Other versions of this item:
- Browning, Martin & Francois Bourguignon & Pierre-Andre Chiappori & Valerie Lechene, 1994. "Income and Outcomes: A Structural Model of Intrahousehold Allocation," Journal of Political Economy, University of Chicago Press, vol. 102(6), pages 1067-96, December.
- Browning, M. & Bourguignon, F. & Chiappori, P.A. & Lechene, V., 1992. "Incomes and Outcomes: A structural Model of Intra-Household Allocation," DELTA Working Papers 92-23, DELTA (Ecole normale supérieure).
Please 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.:
- Bourguignon, F. & Browning, M. & Chiappori, P.A. & Lechene, V., 1992.
"Intra Household Allocation of Consumption : A Model and Some Evidence from French Data,"
DELTA Working Papers
92-08, DELTA (Ecole normale supérieure).
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- 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).
- Chiappori, Pierre-Andre & Haddad, Lawrence & Hoddinott, John & Kanbur, Ravi, 1993. "Unitary versus collective models of the household : time to shift theburden of proof?," Policy Research Working Paper Series 1217, The World Bank.
- Gregory, Allan W & Veall, Michael R, 1985. "Formulating Wald Tests of Nonlinear Restrictions," Econometrica, Econometric Society, vol. 53(6), pages 1465-68, November.
- Blundell, Richard William, 1987. "Econometric Approaches to the Specification of Life-Cycle Labour Supply and Commodity Demand Behaviour," CEPR Discussion Papers 150, C.E.P.R. Discussion Papers.
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