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Extended families and child well-being

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  • LaFave, Daniel
  • Thomas, Duncan

Abstract

Whereas the extended family plays a central role in many models of economic behavior, particularly in developing countries, there is a paucity of empirical evidence on the extent and nature of resource sharing among non coresident family members. This is in sharp contrast with abundant evidence that the distribution of resources within households predicts household spending and savings patterns. To fill this gap, the collective model of household decision-making is extended to the family. The model is particularly appealing in this context because it places few restrictions on preferences of individual family members who may or may not be coresident and does not specify a specific bargaining mechanism that underlies negotiations. The model yields empirical tests of whether the behavior of family members is (Pareto) efficient.

Suggested Citation

  • LaFave, Daniel & Thomas, Duncan, 2017. "Extended families and child well-being," Journal of Development Economics, Elsevier, vol. 126(C), pages 52-65.
  • Handle: RePEc:eee:deveco:v:126:y:2017:i:c:p:52-65
    DOI: 10.1016/j.jdeveco.2016.11.006
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    Cited by:

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    2. Campaña, Juan Carlos & Gimenez-Nadal, J. Ignacio & Molina, José Alberto, 2018. "Efficient Labor Supply for Latin Families: Is the Intra-Household Bargaining Power Relevant?," IZA Discussion Papers 11695, Institute of Labor Economics (IZA).
    3. Olivier Bargain & Guy Lacroix & Luca Tiberti, 2021. "Intrahousehold Resource Allocation and Individual Poverty: Assessing Collective Model Predictions against Direct Evidence on Sharing," Working Papers hal-03432676, HAL.
    4. Rangel, Marcos & Thomas, Duncan, 2020. "Decision-Making in Complex Households," CEPR Discussion Papers 14278, C.E.P.R. Discussion Papers.
    5. Ulrich Nguemdjo & Bruno Ventelou, 2020. "How do migrations affect under-five mortality in rural areas? Evidence from Niakhar, Senegal," AMSE Working Papers 2043, Aix-Marseille School of Economics, France.
    6. Denni Tommasi, 2016. "Household Responses to cash Transfers," Working Papers ECARES ECARES 2016-20, ULB -- Universite Libre de Bruxelles.
    7. Perez-Alvarez, Marcello & Strulik, Holger, 2021. "Nepotism, human capital and economic development," Journal of Economic Behavior & Organization, Elsevier, vol. 181(C), pages 211-240.
    8. Marcos A. Rangel & Duncan Thomas, 2019. "Decision-Making in Complex Households," Working Papers 2019-070, Human Capital and Economic Opportunity Working Group.
    9. Maria Alessandra Antonelli & Valeria De Bonis, 2021. "Economic Poverty: Does the Break-Up of Families Matter?," Social Sciences, MDPI, vol. 10(6), pages 1-20, June.
    10. Castilla, Carolina, 2019. "What's yours is mine, and what's mine is mine: Field experiment on income concealing between spouses in India," Journal of Development Economics, Elsevier, vol. 137(C), pages 125-140.
    11. Denni Tommasi, 2015. "How Cash Transfers Improve Child Development," Working Papers ECARES ECARES 2015-19, ULB -- Universite Libre de Bruxelles.
    12. Ulrich Nguemdjo & Bruno Ventelou, 2020. "How do migrations affect under-five mortality in rural areas? Evidence from Niakhar, Senegal," Working Papers halshs-03078776, HAL.
    13. Judith A. Seltzer, 2019. "Family Change and Changing Family Demography," Demography, Springer;Population Association of America (PAA), vol. 56(2), pages 405-426, April.
    14. Marcos Rangel & Duncan Thomas, 2019. "Decision-Making in Complex Households," NBER Working Papers 26511, National Bureau of Economic Research, Inc.
    15. Margherita Calderone, 2017. "Are there different spillover effects from cash transfers to men and women? Impacts on investments in education in post-war Uganda," WIDER Working Paper Series 093, World Institute for Development Economic Research (UNU-WIDER).
    16. Oliver Bargain, 2022. "Income Sources, Intra-Household Allocation And Individual Poverty," Commitment to Equity (CEQ) Working Paper Series 121, Tulane University, Department of Economics.
    17. Denni Tommasi & Arthur Lewbel & Rossella Calvi, 2017. "LATE with Mismeasured or Misspecified Treatment: An application to Women's Empowerment in India," Working Papers ECARES ECARES 2017-27, ULB -- Universite Libre de Bruxelles.
    18. Margherita Calderone, 2017. "Are there different spillover effects from cash transfers to men and women?: Impacts on investments in education in post-war Uganda," WIDER Working Paper Series wp-2017-93, World Institute for Development Economic Research (UNU-WIDER).
    19. Milovanska-Farrington, Stefani, 2021. "The Effect of Parental and Grandparental Supervision Time Investment on Children's Early-Age Development," Research in Economics, Elsevier, vol. 75(3), pages 286-304.
    20. Deng, Xin & Yu, Mingzhe, 2021. "Does the marginal child increase household debt? – Evidence from the new fertility policy in China," International Review of Financial Analysis, Elsevier, vol. 77(C).

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    More about this item

    Keywords

    Extended families; Pareto efficiency; Collective rationality; Child development;
    All these keywords.

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • I0 - Health, Education, and Welfare - - General
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth

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