Household Structures and Savings: Evidence from Household Surveys
AbstractThis paper examines the relationship between household structures, the institutions that shape them and physical and human capital accumulation using household and individual data from China, Indonesia, Côte d'Ivoire and Ghana. Household structures differ greatly across countries and are very diverse within countries. In the two African countries studied a large share of the population live in extended households and/or polygamous ones. Such household structures are the exception or even absent in the Asian cases, where nuclear monogamous households prevail. This paper finds that polygamy is negatively related to capital accumulation. Wealth per capita is significantly lower in polygamous households even after controlling for income, age and literacy of the household head. A first analysis of the possible channels suggests that the larger size of polygamous households plays an important role. A similar result is found for education: enrolment rates are never higher but frequently lower in these households. The diversity across countries demonstrates that polygamy has very different meanings across societies. Extended households are also examined. The analysis shows that those households that accommodate inactive members of the extended kin group are wealthier than other, comparable households. This result is consistent with accommodation of kin group members acting as a vehicle for solidarity that could also be regarded as a private "tax on success". The implicit transfers embedded in such mechanisms, including fostering, are very high compared to monetary and in-kind transfers and have often been overlooked in the analysis of social relations. --
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Bibliographic InfoPaper provided by Verein für Socialpolitik, Research Committee Development Economics in its series Proceedings of the German Development Economics Conference, Zurich 2008 with number 8.
Date of creation: 2008
Date of revision:
household structure; saving; polygamy; fostering; Africa; capital accumulation;
Other versions of this item:
- Juan Ramón de Laiglesia & Christian Morrison, 2008. "Household Structures and Savings: Evidence from Household Surveys," OECD Development Centre Working Papers 267, OECD Publishing.
- D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
- J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
- O12 - Economic Development, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
- O16 - Economic Development, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
- Z10 - Other Special Topics - - Cultural Economics - - - General
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.:
- Juan Ramón de Laiglesia, 2006. "Institutional Bottlenecks for Agricultural Development: A Stock-Taking Exercise Based on Evidence from Sub-Saharan Africa," OECD Development Centre Working Papers 248, OECD Publishing.
- Laitner, John, 1993. "Intergenerational and interhousehold economic links," Handbook of Population and Family Economics, Elsevier, in: M. R. Rosenzweig & Stark, O. (ed.), Handbook of Population and Family Economics, edition 1, volume 1, chapter 5, pages 189-238 Elsevier.
- Ernesto Savaglio, 2012. "Multidimensional Inequality with Variable Household Weight," Department of Economics University of Siena, Department of Economics, University of Siena 667, Department of Economics, University of Siena.
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