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Intra-household Resource Allocation and Familial Ties

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  • Harounan Kazianga

    () (Oklahoma State University)

  • Zaki Wahhaj

    () (University of Kent)

Abstract

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.

Suggested Citation

  • Harounan Kazianga & Zaki Wahhaj, 2016. "Intra-household Resource Allocation and Familial Ties," Economics Working Paper Series 1605, Oklahoma State University, Department of Economics and Legal Studies in Business.
  • Handle: RePEc:okl:wpaper:1605
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    Cited by:

    1. Kazianga, Harounan & Wahhaj, Zaki, 2017. "Intra-household resource allocation and familial ties," Journal of Development Economics, Elsevier, vol. 127(C), pages 109-132.
    2. repec:kap:reveho:v:16:y:2018:i:1:d:10.1007_s11150-016-9353-x is not listed on IDEAS
    3. Margherita Calderone, 2017. "Are there different spillover effects from cash transfers to men and women? Impacts on investments in education in post-war Uganda," WIDER Working Paper Series 093, World Institute for Development Economic Research (UNU-WIDER).
    4. Bertoli, Simone & Murard, Elie, 2017. "Migration and Co-Residence Choices: Evidence from Mexico," IZA Discussion Papers 11172, Institute for the Study of Labor (IZA).

    More about this item

    Keywords

    Intra-household Allocation; Social Norms; Extended Families; Altruism; Household Farms; Income Shocks; Risk-sharing; Consumption Smoothing;

    JEL classification:

    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture

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