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The More Kids, The Less Mom’s Divvy: Impact of Childbirth on Intrahousehold Resource Allocation

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Author Info

  • Tomoki Fujii

    ()
    (School of Economics, Singapore Management University)

  • Ryuichiro Isikawa

    ()
    (Graduate School of Systems and Information Engineering, University of Tsukuba)

Abstract

We investigate how childbirth affects intrahousehold resource allocation for married Japanese couples. We develop reduced-form and structural-form sepcifications from a unified theoretical framework. Under a weak set of assumptions, we can focus on private goods to track the changes in intrahousehold resource allocation. Our estimation results show that the allocation of resources within household tend to move to the disadvantage of women after childbirth. One additional child is associated with at least 2.6 percentage points decrease in women's private expenditure share. Our estimation results reject the income-pooling hypothesis, and show that women are more risk averse than men.

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Bibliographic Info

Paper provided by Singapore Management University, School of Economics in its series Working Papers with number 11-2008.

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Length: 44 pages
Date of creation: Oct 2008
Date of revision:
Publication status: Published in SMU Economics and Statistics Working Paper Series
Handle: RePEc:siu:wpaper:11-2008

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Keywords: Childbirth; Bargaining; Intrahousehold allocation; Relative risk aversion; Japan;

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