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A collective model of female labor supply: do distribution factors matter in the Egyptian case?

This paper examines the intrahousehold ressource allocation in Egyptian married couples and its impact on females labor supply. Using data from the Egyptian Labor market and Panel Survey of 2006, we estimate a discrete-choice model for female labor supply within a collective framework. The economic model incorporates the possibility of non-participation for females which represents the working situation of more than 70 percent of Egyptian married women. The originality of this paper consists on testing new distribution factors, i.e., a set of exogenous variables which influence the intrahousehold allocation of resources without affecting preferences or the budget constraint. The latter are variables related to the marriage market, gender attitudes, domestic violence, direct access to the household income and participation in household decision making. Indentification of the model relies on the assumption that only some parameters of the utility function are identical for single and married females. We find significant relations between females bargaining power and labor supply decisions. This study's results has important policy implications

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Paper provided by Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne in its series Documents de travail du Centre d'Economie de la Sorbonne with number 10035.

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Length: 39 pages
Date of creation: May 2010
Date of revision:
Handle: RePEc:mse:cesdoc:10035
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  1. HansG. Bloemen, 2010. "An Empirical Model of Collective Household Labour Supply with Non-Participation," Economic Journal, Royal Economic Society, vol. 120(543), pages 183-214, 03.
  2. Chiappori, P.A., 1994. "Introducing Household Production in Collective Models of Labour Suply," DELTA Working Papers 94-18, DELTA (Ecole normale supérieure).
  3. Chiappori, Pierre-Andre, 1991. "Nash-Bargained Household Decisions: A Rejoinder," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 32(3), pages 761-62, August.
  4. Apps, Patricia F & Rees, Ray, 1997. "Collective Labor Supply and Household Production," Journal of Political Economy, University of Chicago Press, vol. 105(1), pages 178-90, February.
  5. Martin Browning & Pierre-Andre Chiappori, 1994. "Efficient Intra-Household Allocations: a General Characterization and Empirical Tests," Department of Economics Working Papers 1994-02, McMaster University.
  6. Martin Browning & Pierre-André Chiappori & Valérie Lechene, 2004. "Collective and Unitary Models: a Clarification," CAM Working Papers 2004-15, University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics.
  7. repec:hal:journl:halshs-00367129 is not listed on IDEAS
  8. Moreau, N., 1999. "Une application d'un modele collectif d'offres de travail sur donnees francaises," G.R.E.Q.A.M. 99b09, Universite Aix-Marseille III.
  9. Apps, Patricia, 2003. "Gender, Time Use and Models of the Household," IZA Discussion Papers 796, Institute for the Study of Labor (IZA).
  10. Frederic VERMEULEN, 2000. "Collective Household Models: Principles and Main Results," Working Papers Department of Economics ces0028, KU Leuven, Faculty of Economics and Business, Department of Economics.
  11. Browning, M. & Bourguignon, F. & Chiappori, P.A. & Lechene, V., 1992. "Incomes and Outcomes: A structural Model of Intra-Household Allocation," DELTA Working Papers 92-23, DELTA (Ecole normale supérieure).
  12. Aronsson, Thomas & Daunfeldt, Sven-Olov & Wikström, Magnus, 1999. "Estimating Intrahousehold Allocation in a Collective Model With Household Production," Umeå Economic Studies 495, Umeå University, Department of Economics.
  13. Laurens Cherchye & Frederic Vermeulen, 2003. "Nonparametric Analysis of Household Labour Supply: Goodness-of-Fit and Power of the Unitary and the Collective Model," Public Economics Working Paper Series ces0302, Katholieke Universiteit Leuven, Centrum voor Economische Studiën, Working Group Public Economics.
  14. Daniel McFadden & Kenneth Train, 2000. "Mixed MNL models for discrete response," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(5), pages 447-470.
  15. Andrew Clark & Hélène Couprie & Catherine Sofer, 2004. "La modélisation collective de l'offre de travail. Mise en perspective et application aux données britanniques," Revue économique, Presses de Sciences-Po, vol. 55(4), pages 767-789.
  16. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521747387, December.
  17. Richard Blundell & Pierre-André Chiappori & Thierry Magnac & Costas Meghir, 1998. "Collective labour supply: heterogeneity and non-participation," IFS Working Papers W98/20, Institute for Fiscal Studies.
  18. Chiappori, P.A., 1989. "Collective Labour Supply and Welfare," DELTA Working Papers 89-07, DELTA (Ecole normale supérieure).
  19. Olivier Donni, 2007. "Collective female labour supply: theory and application," Economic Journal, Royal Economic Society, vol. 117(516), pages 94-119, 01.
  20. Arthur van Soest, 1995. "Structural Models of Family Labor Supply: A Discrete Choice Approach," Journal of Human Resources, University of Wisconsin Press, vol. 30(1), pages 63-88.
  21. Donni, Olivier, 2003. "Collective household labor supply: nonparticipation and income taxation," Journal of Public Economics, Elsevier, vol. 87(5-6), pages 1179-1198, May.
  22. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Publishing House "SINERGIA PRESS", vol. 31(3), pages 129-137.
  23. Donni, Olivier, 2005. "Labor Supply, Home Production and Welfare Comparisons," IZA Discussion Papers 1511, Institute for the Study of Labor (IZA).
  24. Benoit Rapoport & Catherine Sofer & Anne Solaz, 2006. "La production domestique dans les modèles collectifs," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00308780, HAL.
  25. Olivier Donni & Nicolas Moreau, 2005. "Collective Labor Supply: a Single-Equation Model and Some Evidence from French Data," Cahiers de recherche 0516, CIRPEE.
  26. Harvey S. Rosen & Kenneth A. Small, 1979. "Applied Welfare Economics with Discrete Choice Models," NBER Working Papers 0319, National Bureau of Economic Research, Inc.
  27. Peter Haan, 2004. "Discrete Choice Labor Supply: Conditional Logit vs. Random Coefficient Models," Discussion Papers of DIW Berlin 394, DIW Berlin, German Institute for Economic Research.
  28. Frederic Vermeulen, 2006. "A collective model for female labour supply with non-participation and taxation," Journal of Population Economics, Springer;European Society for Population Economics, vol. 19(1), pages 99-118, February.
  29. Vermeulen, F.M.P., 2005. "And the winner is..... An empirical evaluation of unitary and collective labour supply models," Other publications TiSEM 0cf7929c-7f30-48c8-8d5b-2, Tilburg University, School of Economics and Management.
  30. Pierre-André Chiappori & Bernard Fortin & Guy Lacroix, 2001. "Marriage Market, Divorce Legislation and Household Labor Supply," CIRANO Working Papers 2001s-16, CIRANO.
  31. 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.
  32. Duncan Thomas, 1990. "Intra-Household Resource Allocation: An Inferential Approach," Journal of Human Resources, University of Wisconsin Press, vol. 25(4), pages 635-664.
  33. Dauphin, A. & Fortin, B., 2000. "A Test of Collective Rationality for Multi-Person Households," Papers 0005, Laval - Recherche en Politique Economique.
  34. Chiappori, Pierre-Andre, 1988. "Nash-Bargained Households Decisions: A Comment," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 29(4), pages 791-96, November.
  35. Olivier Donni, 2003. "Collective household labor supply: nonparticipation and income taxation," Post-Print hal-00870863, HAL.
  36. Chiappori, Pierre-Andre, 1988. "Rational Household Labor Supply," Econometrica, Econometric Society, vol. 56(1), pages 63-90, January.
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