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Intrahousehold Bargaining and the Demand for Consumer Durables in Brazil

Author

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  • Polato e Fava, Ana Claudia

    (CECS, Universidade Federal do ABC)

  • Arends-Kuenning, Mary P.

    (University of Illinois at Urbana-Champaign)

Abstract

In Brazil, wives do most of the household work. About sixty percent of them also work outside the household, working a total of about 10 hours more per week than men. Because of this unequal distribution of household work, husbands and wives might have different priorities regarding the purchase of durable goods. Although both husbands and wives enjoy entertainment durable goods, wives might have a relative preference for household-production durable goods such as washing machines over entertainment durable goods such as televisions. Using a Brazilian household consumption survey, we examine whether decisions about ownership of entertainment and production durable goods are the outcomes of a bargaining process between husbands and wives. We use several variables to measure bargaining power, including the ratio of women to men in a state. The results indicate that decisions about durable goods ownership are the outcomes of bargaining processes between husbands and wives with wives having a relative preference for household-production durable goods over entertainment durable goods compared to their husbands. Bargaining might explain why ownership of household production durable goods is relatively low in Brazil, despite their potential to save women's time.

Suggested Citation

  • Polato e Fava, Ana Claudia & Arends-Kuenning, Mary P., 2013. "Intrahousehold Bargaining and the Demand for Consumer Durables in Brazil," IZA Discussion Papers 7281, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp7281
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    References listed on IDEAS

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    1. Angus Deaton & Salman Zaidi, 1999. "Guidelines for Constructing Consumption Aggregates For Welfare Analysis," Working Papers 217, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
    2. Deaton,Angus & Muellbauer,John, 1980. "Economics and Consumer Behavior," Cambridge Books, Cambridge University Press, number 9780521296762, December.
    3. Tiago V. de V. Cavalcanti & José Tavares, 2008. "Assessing the "Engines of Liberation": Home Appliances and Female Labor Force Participation," The Review of Economics and Statistics, MIT Press, vol. 90(1), pages 81-88, February.
    4. Manser, Marilyn & Brown, Murray, 1980. "Marriage and Household Decision-Making: A Bargaining Analysis," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 21(1), pages 31-44, February.
    5. Angus Deaton & Salman Zaidi, 1999. "Guidelines for Constructing Consumption Aggregates For Welfare Analysis," Working Papers 217, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
    6. 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.
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    Cited by:

    1. Bruce, Raphael & Lima, Rafael Costa, 2019. "Compulsory voting and TV news consumption," Journal of Development Economics, Elsevier, vol. 138(C), pages 165-179.
    2. Sowmya Dhanaraj & Vidya Mahambare & Poonam Munjal, 2018. "From Income to Household Welfare: Lessons from Refrigerator Ownership in India," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 16(2), pages 573-588, June.

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    More about this item

    Keywords

    consumer durables; Brazil; household production;
    All these keywords.

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure

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