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Endogenous Intra-household Balance of Power and its Impact on Expenditure Patterns: Evidence from India

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  • GEOFFREY LANCASTER
  • PUSHKAR MAITRA
  • RANJAN RAY

Abstract

This paper extends the collective approach to household behaviour by proposing and estimating a model in which the weights attached to individual members are endogenously determined. The estimation is conducted using two different data-sets from three Indian states. We find that relative bargaining power of the adult decision-makers has a statistically significant effect on the budget share of an item and that the effects are typically nonlinear and vary significantly across items. This implies that household welfare is better protected in households where bargaining power is spread evenly between the spouses than where one partner enjoys a dominant position. Copyright (c) The London School of Economics and Political Science 2006.

Suggested Citation

  • Geoffrey Lancaster & Pushkar Maitra & Ranjan Ray, 2006. "Endogenous Intra-household Balance of Power and its Impact on Expenditure Patterns: Evidence from India," Economica, London School of Economics and Political Science, vol. 73(291), pages 435-460, August.
  • Handle: RePEc:bla:econom:v:73:y:2006:i:291:p:435-460
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    References listed on IDEAS

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    1. Kaushik Basu, 2006. "Gender and Say: a Model of Household Behaviour with Endogenously Determined Balance of Power," Economic Journal, Royal Economic Society, vol. 116(511), pages 558-580, April.
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    Cited by:

    1. André Palma & Nathalie Picard & Anthony Ziegelmeyer, 2011. "Individual and couple decision behavior under risk: evidence on the dynamics of power balance," Theory and Decision, Springer, vol. 70(1), pages 45-64, January.
    2. Hippolyte d’ALBIS & Dalal MOOSA, 2015. "Generational Economics and the National Transfer Accounts," JODE - Journal of Demographic Economics, Cambridge University Press, vol. 81(4), pages 409-441, December.
    3. Geeta G. Kingdon, 2003. "Where has all the bias gone? Detecting gender-bias in the household allocation of educational expenditure," CSAE Working Paper Series 2003-13, Centre for the Study of African Economies, University of Oxford.
    4. Hung-Hao Chang & Pei-An Liao, 2015. "Are Immigrant Wives Happy in Taiwan? A Look at the Role of Bargaining Power Within the Married Couples," Journal of Happiness Studies, Springer, vol. 16(2), pages 295-312, April.
    5. Smriti Sharma & Christophe Nordman, 2016. "The power to choose Gender balance of power and intra-household educational spending in India," WIDER Working Paper Series 061, World Institute for Development Economic Research (UNU-WIDER).
    6. Cristina Cattaneo, 2012. "Migrants’ international transfers and educational expenditure," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 20(1), pages 163-193, January.
    7. Anderson, Siwan & Eswaran, Mukesh, 2009. "What determines female autonomy? Evidence from Bangladesh," Journal of Development Economics, Elsevier, vol. 90(2), pages 179-191, November.
    8. Maertens, Miet & Verhofstadt, Ellen, 2013. "Horticultural exports, female wage employment and primary school enrolment: Theory and evidence from Senegal," Food Policy, Elsevier, vol. 43(C), pages 118-131.
    9. Kompal Sinha, 2012. "Endogenous, Intra-household Decision-making and its Impact on the Labor Supply of Couples in Rural India," Asian Economic Journal, East Asian Economic Association, vol. 26(2), pages 137-157, June.
    10. Clémentine Sadania, 2016. "Working and Women’s Empowerment in the Egyptian Household: The Type of Work and Location Matter," Working Papers halshs-01525220, HAL.
    11. Maertens, Miet & Verhofstadt, Ellen, 2012. "Horticultural exports, female wage employment and primary school enrolment: Theory and evidence from a natural quasi-experiment in Senegal," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126856, International Association of Agricultural Economists.
    12. Jacob, Arun, 2016. "Gender Bias in Educational Attainment in India : The Role of Dowry Payments," MPRA Paper 76338, University Library of Munich, Germany.
    13. Leslie Root & Jennifer Johnson-Hanks†, 2016. "Gender, Honor, and Aggregate Fertility," American Journal of Economics and Sociology, Wiley Blackwell, vol. 75(4), pages 904-928, September.
    14. Sara Borelli, 2007. "Intergenerational Mobility and Intrahousehold Balance of Power: A Theoretical Analysis," Working Papers 41/2007, University of Verona, Department of Economics.
    15. Wouterse, Fleur Stephanie, 2016. "The distribution of power and household behavior: Evidence from Niger:," IFPRI discussion papers 1548, International Food Policy Research Institute (IFPRI).
    16. repec:kap:reveho:v:15:y:2017:i:4:d:10.1007_s11150-015-9281-1 is not listed on IDEAS
    17. Seth R. Gitter & Bradford L. Barham, 2008. "Women's Power, Conditional Cash Transfers, and Schooling in Nicaragua," World Bank Economic Review, World Bank Group, vol. 22(2), pages 271-290, May.
    18. Xu, Zeyu, 2007. "A survey on intra-household models and evidence," MPRA Paper 3763, University Library of Munich, Germany.
    19. Xiaohui Hou, 2016. "How Does Women’s Decision-Making Power Affect Budget Share, Nutrition and Education in Pakistan?," Journal of Family and Economic Issues, Springer, vol. 37(1), pages 115-131, March.
    20. Yusuke Kamiya, 2010. "Endogenous Women's Autonomy and the Use of Reproductive Health Services: Empirical Evidence from Tajikistan," OSIPP Discussion Paper 10E010, Osaka School of International Public Policy, Osaka University.
    21. Hou, Xiaohui, 2011. "Women's decision making power and human development : evidence from Pakistan," Policy Research Working Paper Series 5830, The World Bank.
    22. Ranjan Ray & Kompal Sinha, 2011. "Interaction between HIV Awareness, Knowledge, Safe Sex Practice and HIV Incidence: Evidence from Botswana," Monash Economics Working Papers 12-11, Monash University, Department of Economics.
    23. Uma Sarada Kambhampati, 2009. "Child Schooling and Work Decisions in India: The Role of Household and Regional Gender Equity," Feminist Economics, Taylor & Francis Journals, vol. 15(4), pages 77-112.

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