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Household Bargaining Power, Preferences for Children and Household Consumption

Author

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  • Andrea Moro

    (Vanderbilt University)

  • Federico Gutierrez

    (Vanderbilt University)

Abstract

We structurally estimate the parameters of a collective model of household consumption that includes preferences for children using the Mexican Family Life Survey. The estimation sheds lights on parents' relative bargaining power, their different preferences for children's consumption, and the consumption of children of different gender. We use the model to assess how parent's relative bargaining power, altruism, and gender preferences affect the distributional and welfare implications of targeting conditional cash transfers to women.

Suggested Citation

  • Andrea Moro & Federico Gutierrez, 2017. "Household Bargaining Power, Preferences for Children and Household Consumption," 2017 Meeting Papers 1426, Society for Economic Dynamics.
  • Handle: RePEc:red:sed017:1426
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    References listed on IDEAS

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    1. Martin Browning & Pierre-André Chiappori & Arthur Lewbel, 2013. "Estimating Consumption Economies of Scale, Adult Equivalence Scales, and Household Bargaining Power," Review of Economic Studies, Oxford University Press, vol. 80(4), pages 1267-1303.
    2. M. Browning & P. A. Chiappori, 1998. "Efficient Intra-Household Allocations: A General Characterization and Empirical Tests," Econometrica, Econometric Society, vol. 66(6), pages 1241-1278, November.
    3. Udry, Christopher, 1996. "Gender, Agricultural Production, and the Theory of the Household," Journal of Political Economy, University of Chicago Press, vol. 104(5), pages 1010-1046, October.
    4. Esther Duflo & Christopher Udry, 2003. "Intrahousehold Resource Allocation in Côte D'ivoire: Social Norms, Separate Accounts and Consumption Choices," Working Papers 857, Economic Growth Center, Yale University.
    5. Gustavo J. Bobonis, 2009. "Is the Allocation of Resources within the Household Efficient? New Evidence from a Randomized Experiment," Journal of Political Economy, University of Chicago Press, vol. 117(3), pages 453-503, June.
    6. Orazio P. Attanasio & Valérie Lechene, 2014. "Efficient Responses to Targeted Cash Transfers," Journal of Political Economy, University of Chicago Press, vol. 122(1), pages 178-222.
    7. François Bourguignon & Martin Browning & Pierre-André Chiappori, 2009. "Efficient Intra-Household Allocations and Distribution Factors: Implications and Identification," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 76(2), pages 503-528.
    8. Chiappori, Pierre-Andre, 1988. "Rational Household Labor Supply," Econometrica, Econometric Society, vol. 56(1), pages 63-90, January.
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    Cited by:

    1. Donni, Olivier & Molina, José Alberto, 2018. "Household Collective Models: Three Decades of Theoretical Contributions and Empirical Evidence," IZA Discussion Papers 11915, Institute of Labor Economics (IZA).

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