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Intrahousehold resource allocation in rural Pakistan: a semi-parametric analysis

  • Sonia Bhalotra
  • Cliff Attfield

We estimate semiparametric Engel curves for rural Pakistan using a large household survey. This allows us to obtain consistent estimates of the effects of household size and composition on consumption patterns even when these demographic variables are correlated with an unknown function of income. The coefficients on the household composition variables are used to infer patterns of intrahousehold allocation. While there is little evidence of gender bias amongst children, adult males appear to get more than adult females. There is a tendency amongst males for workers to get more than dependents. There is no evidence of differential treatment of the elderly and higher birth-order children. We identify substantial economies of size in food consumption. We also find that Engel curces for food, adult goods and child goods are nonlinear, which suggests that the PIGLOG class of demand models in inappropriate.

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Paper provided by London School of Economics and Political Science, LSE Library in its series LSE Research Online Documents on Economics with number 6679.

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Length: 39 pages
Date of creation: Feb 1998
Date of revision:
Handle: RePEc:ehl:lserod:6679
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  1. Strauss, J. & Thonas, D., 1990. "The Shape Of The Calorie-Expenditure Curve," Papers 595, Yale - Economic Growth Center.
  2. Behrman, Jere R., 1988. "Nutrition, health, birth order and seasonality : Intrahousehold allocation among children in rural India," Journal of Development Economics, Elsevier, vol. 28(1), pages 43-62, February.
  3. Morduch, Jonathan J. & Stern, Hal S., 1997. "Using mixture models to detect sex bias in health outcomes in Bangladesh," Journal of Econometrics, Elsevier, vol. 77(1), pages 259-276, March.
  4. Ahmad, A. & Morduch, J., 1993. "Identifying Sex Bias in the Allocation of Household Resources: Evidence from Linked Household Surveys from Bangladesh," Harvard Institute of Economic Research Working Papers 1636, Harvard - Institute of Economic Research.
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  10. Deaton, Angus S & Ruiz-Castillo, Javier & Thomas, Duncan, 1989. "The Influence of Household Composition on Household Expenditure Patterns: Theory and Spanish Evidence," Journal of Political Economy, University of Chicago Press, vol. 97(1), pages 179-200, February.
  11. Rosenzweig, Mark R & Schultz, T Paul, 1982. "Market Opportunities, Genetic Endowments, and Intrafamily Resource Distribution: Child Survival in Rural India," American Economic Review, American Economic Association, vol. 72(4), pages 803-15, September.
  12. Deaton, Angus S, 1989. "Looking for Boy-Girl Discrimination in Household Expenditure Data," World Bank Economic Review, World Bank Group, vol. 3(1), pages 1-15, January.
  13. Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-26, June.
  14. Aït-Sahalia, Yacine. & Bickel, Peter J. & Stoker, Thomas M., 1994. "Goodness-of-fit tests for regression using kernel methods," Working papers 3747-94., Massachusetts Institute of Technology (MIT), Sloan School of Management.
  15. Kynch, Jocelyn & Sen, Amartya, 1983. "Indian Women: Well-Being and Survival," Cambridge Journal of Economics, Oxford University Press, vol. 7(3-4), pages 363-80, September.
  16. Delgado, Miguel A & Miles, Daniel, 1997. "Household Characteristics and Consumption Behaviour: A Nonparametric Approach," Empirical Economics, Springer, vol. 22(3), pages 409-29.
  17. Martin Browning & Ramesh Subramaniam, 1994. "Gender Bias in India: Parental Preferences or Marriage Costs?," CRIEFF Discussion Papers 9415, Centre for Research into Industry, Enterprise, Finance and the Firm.
  18. Deaton, Angus S & Muellbauer, John, 1986. "On Measuring Child Costs: With Applications to Poor Countries," Journal of Political Economy, University of Chicago Press, vol. 94(4), pages 720-44, August.
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