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Intra-household management of resources: evidence from Malawi

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  • Anna Josephson

    (University of Arizona)

Abstract

I examine assumptions about intra-household resource allocation, using panel from the World Bank’s Living Standards Measurement Study and Climate Hazards Group InfraRed Precipitation with Station data. I test for the complete pooling of household resources after the experience of a transitory shock, accounting for income earned individually by men and women, as well as income earned jointly by multiple household members. I find evidence that food expenditures do not respond to shocks; household members pool resources for this expenditure, even when individuals face substantial shocks to their income. All other expenditures respond to shocks. These findings are robust to inclusion and exclusion of income earned jointly, as well as controlling for household-level unobserved preference heterogeneity. This study extends our understanding of intra-household behavior, beyond standard utility, collective, and non-cooperative conceptions of the household in a panel data context.

Suggested Citation

  • Anna Josephson, 2025. "Intra-household management of resources: evidence from Malawi," Review of Economics of the Household, Springer, vol. 23(1), pages 165-194, March.
    • Handle: RePEc:kap:reveho:v:23:y:2025:i:1:d:10.1007_s11150-024-09698-6
    DOI: 10.1007/s11150-024-09698-6
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    More about this item

    Keywords

    Households; Intra-household income allocation; Joint income; Gender; Malawi;
    All these keywords.

    JEL classification:

    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination

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