Income and Outcomes: A Structural Model of Intrahousehold Allocation
There is evidence that one cannot treat many-person households as a single decisionmaker. If so, then factors such as the relative incomes of the household members may affect the final allocation decisions made by the household. The authors develop a method of identifying how incomes affect outcomes given conventional family expenditure data. They assume that household decision processes lead to efficient outcomes. The authors apply their method to a sample of Canadian couples with no children. They find that the final allocations of expenditures on each partner depend significantly on their relative incomes and ages and on the level of lifetime wealth. Copyright 1994 by University of Chicago Press.
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Volume (Year): 102 (1994)
Issue (Month): 6 (December)
Pages: 1067-1096
| Handle: | RePEc:ucp:jpolec:v:102:y:1994:i:6:p:1067-96 |
| Contact details of provider: | Web page: http://www.journals.uchicago.edu/JPE/
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References listed on IDEAS
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- Bourguignon, F. & Browning, M. & Chiappori, P.A. & Lechene, V., 1992. "Intra Household Allocation of Consumption : A Model and Some Evidence from French Data," DELTA Working Papers 92-08, DELTA (Ecole normale supérieure).
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- Bergstrom, Theodore C, 1989. "A Fresh Look at the Rotten Kid Theorem--and Other Household Mysteries," Journal of Political Economy, University of Chicago Press, vol. 97(5), pages 1138-1159, October. Full references (including those not matched with items on IDEAS)
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