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Is the Japanese Extended Family Altruistically Linked? A Test Based on Engel Curves

  • Hayashi, Fumio

Altruism has the well-known neutrality implication that the family's demand for commodities is invariant to the division of resources within the family. The author tests this by estimating Engel curves on a cross section of Japanese extended families forming two-generation households. He finds that the pattern of food expenditure is significantly affected by the division of resources. The food components whose budget share increases with the older generation's share of household income are precisely those favored by the old, such as cereal, seafood, and vegetables. Copyright 1995 by University of Chicago Press.

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File URL: http://dx.doi.org/10.1086/261998
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Article provided by University of Chicago Press in its journal Journal of Political Economy.

Volume (Year): 103 (1995)
Issue (Month): 3 (June)
Pages: 661-74

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Handle: RePEc:ucp:jpolec:v:103:y:1995:i:3:p:661-74
Contact details of provider: Web page: http://www.journals.uchicago.edu/JPE/

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  1. Fumio Hayashi, 1985. "The Permanent Income Hypothesis and Consumption Durability: Analysis Based on Japanese Panel Data," The Quarterly Journal of Economics, Oxford University Press, vol. 100(4), pages 1083-1113.
  2. Browning, Martin & Meghir, Costas, 1991. "The Effects of Male and Female Labor Supply on Commodity Demands," Econometrica, Econometric Society, vol. 59(4), pages 925-51, July.
  3. Hayashi, Fumio, 1995. "Is the Japanese Extended Family Altruistically Linked? A Test Based on Engel Curves," Journal of Political Economy, University of Chicago Press, vol. 103(3), pages 661-74, June.
  4. Schultz, T.P., 1990. "Testing The Neoclassical Model Of Family Labor Supply And Fertility," Papers 601, Yale - Economic Growth Center.
  5. Altonji, Joseph G & Hayashi, Fumio & Kotlikoff, Laurence J, 1992. "Is the Extended Family Altruistically Linked? Direct Tests Using Micro Data," American Economic Review, American Economic Association, vol. 82(5), pages 1177-98, December.
  6. Deaton,Angus & Muellbauer,John, 1980. "Economics and Consumer Behavior," Cambridge Books, Cambridge University Press, number 9780521296762, June.
  7. Duncan Thomas, 1990. "Intra-Household Resource Allocation: An Inferential Approach," Journal of Human Resources, University of Wisconsin Press, vol. 25(4), pages 635-664.
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