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Gender discrimination and efficiency in marriage: the bargaining family under scrutiny

  • Helmut Rainer

    ()

We consider a repeated family bargaining model that links the topics of employment and households. A key aspect of the model is that marital bargaining power is determined endogenously. We show that: (1) the efficiency of household decisions is sometimes inversely related to the prevailing degree of gender discrimination in labor markets; (2) women who are discriminated against have difficulty enforcing cooperative household outcomes because they may be extremely limited to credibly punish opportunistic behavior by their male partners; (3) the likelihood that sharing rules such as \"equal sharing\" are maintained throughout a marriage relationship is highest when men and women face equal opportunities in labor markets.

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File URL: http://hdl.handle.net/10.1007/s00148-007-0143-x
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Article provided by Springer in its journal Journal of Population Economics.

Volume (Year): 21 (2008)
Issue (Month): 2 (April)
Pages: 305-329

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Handle: RePEc:spr:jopoec:v:21:y:2008:i:2:p:305-329
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  1. Konrad, K.A. & Lommerud, K.E., 2000. "The Bargaining Family Revisited," Norway; Department of Economics, University of Bergen 212, Department of Economics, University of Bergen.
  2. Sylvain E. Dessy & Stéphane Pallage, 2009. "Gender Discrimination, Human Capital and Marriage," Journal of African Development, African Finance and Economic Association, vol. 11(1), pages 61-76.
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  17. Vagstad, S., 1999. "On Private Incentives to Acquire Household Production Skills," Norway; Department of Economics, University of Bergen 1499, Department of Economics, University of Bergen.
  18. Pierre-André Chiappori & Bernard Fortin & Guy Lacroix, 2001. "Marriage Market, Divorce Legislation and Household Labor Supply," CIRANO Working Papers 2001s-16, CIRANO.
  19. Chiappori, Pierre-Andre, 1992. "Collective Labor Supply and Welfare," Journal of Political Economy, University of Chicago Press, vol. 100(3), pages 437-67, June.
  20. Shelly Lundberg & Robert A. Pollak, 1996. "Bargaining and Distribution in Marriage," Journal of Economic Perspectives, American Economic Association, vol. 10(4), pages 139-158, Fall.
  21. Booth, Alison L. & Francesconi, Marco & Frank, Jeff, 2003. "A sticky floors model of promotion, pay, and gender," European Economic Review, Elsevier, vol. 47(2), pages 295-322, April.
  22. Imran Rasul, 2006. "The Economics of Child Custody," Economica, London School of Economics and Political Science, vol. 73(289), pages 1-25, 02.
  23. Holly Sutherland & Cathal O’Donoghue, 1998. "Accounting for the Family: The treatment of marriage and children in European income tax systems," Papers iopeps98/25, Innocenti Occasional Papers, Economic Policy Series.
  24. Marjorie B. McElroy, 1990. "The Empirical Content of Nash-Bargained Household Behavior," Journal of Human Resources, University of Wisconsin Press, vol. 25(4), pages 559-583.
  25. Bernheim, B Douglas & Stark, Oded, 1988. "Altruism within the Family Reconsidered: Do Nice Guys Finish Last?," American Economic Review, American Economic Association, vol. 78(5), pages 1034-45, December.
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