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The Measurement of Child Costs: Evidence from Ireland

  • Bargain, Olivier

    ()

    (University of Aix-Marseille II)

  • Donni, Olivier

    ()

    (University of Cergy-Pontoise)

  • Gbakou, Monnet Benoit Patrick

    ()

    (University of Hohenheim)

We apply an extension of the Rothbarth approach to estimate the share of household resources accruing to children (i.e., the cost of children) in Ireland. The method also allows us to identify the economies of scale in the household and indifference scales in Lewbel (2003)’s sense. A practical aspect of the present approach is that it does not require price variation. The identification of the children's share requires the observation of adult-specific goods as in the traditional Rothbarth method. We compare our findings to previous results for Ireland.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4672.

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Length: 24 pages
Date of creation: Dec 2009
Date of revision:
Publication status: published in: Economic and Social Review, 2010, 41 (1), 1-20
Handle: RePEc:iza:izadps:dp4672
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  1. Blundell, Richard & Robin, Jean Marc, 1999. "Estimation in Large and Disaggregated Demand Systems: An Estimator for Conditionally Linear Systems," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 14(3), pages 209-32, May-June.
  2. Blundell & Robin, 2000. "Latent separability : grouping goods without weak separability," Working Papers 156158, Institut National de la Recherche Agronomique, France.
  3. Bargain, Olivier & Donni, Olivier, 2009. "The Measurement of Child Costs: A Rothbarth-Type Method Consistent with Scale Economies," IZA Discussion Papers 4654, Institute for the Study of Labor (IZA).
  4. Micklewright, John, 2004. "Child Poverty in English-Speaking Countries," IZA Discussion Papers 1113, Institute for the Study of Labor (IZA).
  5. Sara Cantillon & Brian Nolan, 2001. "Poverty Within Households: Measuring Gender Differences Using Nonmonetary Indicators," Feminist Economics, Taylor & Francis Journals, vol. 7(1), pages 5-23.
  6. Conniffe, Denis, 1992. "The Non-constancy of Equivalence Scales," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 38(4), pages 429-43, December.
  7. Lewbel, Arthur, 2003. "Calculating compensation in cases of wrongful death," Journal of Econometrics, Elsevier, vol. 113(1), pages 115-128, March.
  8. James Banks & Richard Blundell & Arthur Lewbel, 1997. "Quadratic Engel Curves And Consumer Demand," The Review of Economics and Statistics, MIT Press, vol. 79(4), pages 527-539, November.
  9. Gronau, Reuben, 1991. "The Intrafamily Allocation of Goods--How to Separate the Adult from the Child," Journal of Labor Economics, University of Chicago Press, vol. 9(3), pages 207-35, July.
  10. Martin Browning & Pierre-André Chiappori & Arthur Lewbel, . "Estimating Consumption Economies of Scale, Adult Equivalence Scales, and Household Bargaining Power," CAM Working Papers 2003-12, University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics, revised Dec 2003.
  11. Lewbel, Arthur & Pendakur, Krishna, 2008. "Estimation of collective household models with Engel curves," Journal of Econometrics, Elsevier, vol. 147(2), pages 350-358, December.
  12. Lazear, Edward P. & Michael, Robert T., 1988. "Allocation of Income within the Household," University of Chicago Press Economics Books, University of Chicago Press, edition 1, number 9780226469669.
  13. Gronau, Reuben, 1988. "Consumption Technology and the Intrafamily Distribution of Resources:," Journal of Political Economy, University of Chicago Press, vol. 96(6), pages 1183-1205, December.
  14. Shelly J. Lundberg & Robert A. Pollak & Terence J. Wales, 1997. "Do Husbands and Wives Pool Their Resources? Evidence from the United Kingdom Child Benefit," Journal of Human Resources, University of Wisconsin Press, vol. 32(3), pages 463-480.
  15. Browning, Martin, 1992. "Children and Household Economic Behavior," Journal of Economic Literature, American Economic Association, vol. 30(3), pages 1434-75, September.
  16. Pierre-André Chiappori & Richard Blundell & Costas Meghir, 2002. "Collective labour supply with children," IFS Working Papers W02/08, Institute for Fiscal Studies.
  17. Conniffe, Denis & Keogh, Gary, 1988. "Equivalence Scales and Costs of Children," Research Series, Economic and Social Research Institute (ESRI), number GRS142.
  18. Barrett, Alan & Coleman, Kieran & Delaney, Liam & Fahey, Tony & Gannon, Brenda & Kearney, Ide & McCarthy, Yvonne & Nolan, Brian & Walsh, John R., 2006. "Budget Perspectives 2007," Research Series, Economic and Social Research Institute (ESRI), number BMI192 edited by Callan, Tim.
  19. Denis Conniffe & Brian Nolan & Christopher T. Whelan, 1999. "Household Composition, Living Standards, and "Needs"," Papers WP106, Economic and Social Research Institute (ESRI).
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