Private lives: experimental evidence on information completeness in spousal preferences

Experimental work using real married couples has shown that efficiency in intra-household allocations is influenced by information asymmetry between spouses. We conduct a lab-in-the-field experiment in rural India to test the extent to which lack of complete information on spousal preferences related to a bundle of private goods can affect allocation dynamics as well as expectations about allocations. We first show that there exist information asymmetries in spousal preferences, and that our information intervention helps reduce gendered misperception in beliefs about allocations and actual allocations, especially for men. However, information on spousal preferences does not significantly affect the final allocation decision, suggesting that husbands and wives may be responding to existing gender norms. We outline implications for experimental work on intra-household bargaining, and for policy.