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Intra-household Resource Allocation and Familial Ties

Listed author(s):
  • Harounan Kazianga

    ()

    (Oklahoma State University)

  • Zaki Wahhaj

    ()

    (University of Kent)

In this paper, we investigate the link between intra-household resource allocation and familial ties between household members. We show that, within the same geographic, economic and social environments, households where members have `stronger' familial ties (e.g. a nuclear family household) achieve near Pareto efficient allocation of productive resources and Pareto efficient allocation of consumption while households with `weaker' familial ties (e.g. an extended family household) do not. We propose a theoretical model of the household based on the idea that altruism between household members vary with familial ties which generates predictions consistent with the observed empirical patterns.

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File URL: http://spears.okstate.edu/ecls-working-papers/files/OKSWPS1605.pdf
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Paper provided by Oklahoma State University, Department of Economics and Legal Studies in Business in its series Economics Working Paper Series with number 1605.

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Length: 67 pages
Date of creation: 2016
Handle: RePEc:okl:wpaper:1605
Contact details of provider: Web page: http://spears.okstate.edu/ecls-working-papers/

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  1. Esther Duflo & Christopher Udry, 2003. "Intrahousehold Resource Allocation in Côte D'ivoire: Social Norms, Separate Accounts and Consumption Choices," Working Papers 857, Economic Growth Center, Yale University.
  2. Ethan Ligon & Jonathan P. Thomas & Tim Worrall, 2002. "Informal Insurance Arrangements with Limited Commitment: Theory and Evidence from Village Economies," Review of Economic Studies, Oxford University Press, vol. 69(1), pages 209-244.
  3. Mark R. Rosenzweig & Kenneth I. Wolpin, 1985. "Specific Experience, Household Structure, and Intergenerational Transfers: Farm Family Land and Labor Arrangements in Developing Countries," The Quarterly Journal of Economics, Oxford University Press, vol. 100(Supplemen), pages 961-987.
  4. Richard Akresh & Joyce J. Chen & Charity T. Moore, 2016. "Altruism, Cooperation, and Efficiency: Agricultural Production in Polygynous Households," Economic Development and Cultural Change, University of Chicago Press, vol. 64(4), pages 661-696.
  5. Harounan Kazianga & Zaki Wahhaj, 2016. "Intra-household Resource Allocation and Familial Ties," Studies in Economics 1601, School of Economics, University of Kent.
  6. Kazianga, Harounan & Udry, Christopher, 2006. "Consumption smoothing? Livestock, insurance and drought in rural Burkina Faso," Journal of Development Economics, Elsevier, vol. 79(2), pages 413-446, April.
  7. Paxson, Christina H, 1992. "Using Weather Variability to Estimate the Response of Savings to Transitory Income in Thailand," American Economic Review, American Economic Association, vol. 82(1), pages 15-33, March.
  8. Harounan Kazianga & Zaki Wahhaj, 2013. "Gender, Social Norms, and Household Production in Burkina Faso," Economic Development and Cultural Change, University of Chicago Press, vol. 61(3), pages 539-576.
  9. Cox, Donald & Fafchamps, Marcel, 2008. "Extended Family and Kinship Networks: Economic Insights and Evolutionary Directions," Handbook of Development Economics, Elsevier.
  10. Gustavo J. Bobonis, 2009. "Is the Allocation of Resources within the Household Efficient? New Evidence from a Randomized Experiment," Journal of Political Economy, University of Chicago Press, vol. 117(3), pages 453-503, 06.
  11. Bardhan, Pranab & Udry, Christopher, 1999. "Development Microeconomics," OUP Catalogue, Oxford University Press, number 9780198773719, April.
  12. Salvatore di Falco & Erwin Bulte, 2011. "A Dark Side of Social Capital? Kinship, Consumption, and Savings," Journal of Development Studies, Taylor & Francis Journals, vol. 47(8), pages 1128-1151, June.
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