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Estimating the endogenously determined intrahousehold balance of power and its impact on expenditure pattern : evidence from Nepal

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  • Koolwal, Gayatri
  • Ray, Ranjan

Abstract

The collective approach to household behavior relaxes the restrictive features of the unitary model by specifying household welfare as a weighted combination of the individuals'utilities. But the weights are assumed fixed or exogenous to the analysis. The authors extend the collective approach by proposing and estimating a framework where the weights are determined and simultaneously estimated with the household outcomes. The authors present Nepalese evidence that suggests that a woman's share of household earnings understates her"power"in making household decisions. An increase in the woman's educational experience leads to a rise in her bargaining power. The results also reveal some interesting nonmonotonic relationships between a woman's"power"and the household's expenditure outcomes.

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Bibliographic Info

Paper provided by The World Bank in its series Policy Research Working Paper Series with number 2814.

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Date of creation: 31 Mar 2002
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Handle: RePEc:wbk:wbrwps:2814

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Related research

Keywords: Gender and Social Development; Housing&Human Habitats; Anthropology; Public Health Promotion; Economic Theory&Research; Poverty Lines; Health Monitoring&Evaluation; Housing&Human Habitats; Environmental Economics&Policies; Anthropology;

References

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  1. Chiappori, Pierre-Andre, 1988. "Rational Household Labor Supply," Econometrica, Econometric Society, vol. 56(1), pages 63-90, January.
  2. Kaushik Basu, 2004. "Gender and Say A Model of Household Behavior with Endogenously-determined Balance of Power," Harvard Institute of Economic Research Working Papers 2054, Harvard - Institute of Economic Research.
  3. Browning, M. & Chiappori, P.A., 1994. "Efficient Intra-Household allocations: A General Characterization and Empirical Tests," DELTA Working Papers 94-16, DELTA (Ecole normale supérieure).
  4. Kaushik Basu, 2000. "A Note on Multiple General Equilibria with Child Labour," Working Papers 78, Institute for Social and Economic Change, Bangalore.
  5. Kanbur, Ravi & Haddad, Lawrence, 1994. "Are Better Off Households More Unequal or Less Unequal?," Oxford Economic Papers, Oxford University Press, vol. 46(3), pages 445-58, July.
  6. Pollak, Robert A, 1994. "For Better or Worse: The Roles of Power in Models of Distribution within Marriage," American Economic Review, American Economic Association, vol. 84(2), pages 148-52, May.
  7. Ray, Ranjan, 2000. "Child Labor, Child Schooling, and Their Interaction with Adult Labor: Empirical Evidence for Peru and Pakistan," World Bank Economic Review, World Bank Group, vol. 14(2), pages 347-67, May.
  8. Lundberg, Shelly & Pollak, Robert A, 1994. "Noncooperative Bargaining Models of Marriage," American Economic Review, American Economic Association, vol. 84(2), pages 132-37, May.
  9. Basu, Kaushik & Van, Pham Hoang, 1998. "The Economics of Child Labor," American Economic Review, American Economic Association, vol. 88(3), pages 412-27, June.
  10. Maitra, P. & Ray, R., 2000. "Intra Household Resource Allocation And Their Impact On Expenditure Patterns: Comparative Evidence From South Africa And Pakistan," Papers 2000-09, Tasmania - Department of Economics.
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Citations

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Cited by:
  1. Holger Seebens & Johannes Sauer, 2007. "Bargaining power and efficiency-rural households in Ethiopia," Journal of International Development, John Wiley & Sons, Ltd., vol. 19(7), pages 895-918.
  2. Seebens, Holger, 2006. "Bargaining over Fertility in Rural Ethiopia," Proceedings of the German Development Economics Conference, Berlin 2006 25, Verein für Socialpolitik, Research Committee Development Economics.
  3. Pierre-Richard Agénor, 2012. "A Computable OLG Model for Gender and Growth Policy Analysis," Centre for Growth and Business Cycle Research Discussion Paper Series 169, Economics, The Univeristy of Manchester.
  4. Xu, Zeyu, 2007. "A survey on intra-household models and evidence," MPRA Paper 3763, University Library of Munich, Germany.

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