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A Characterization of Collective Individual Expenditure Functions

Author

Listed:
  • Martina Menon

    () (Department of Economics (University of Verona))

  • Elisa Pagani

    () (Department of Economics (University of Verona))

  • Federico Perali

    () (Department of Economics (University of Verona))

Abstract

We examine the properties ensuring that individual expenditure functions, derived within the context of the collective household model, are legitimate individual cost functions. Our curvature results are important for the characterization of collective demand functions as well and for the measurement of inequality within the household.

Suggested Citation

  • Martina Menon & Elisa Pagani & Federico Perali, 2012. "A Characterization of Collective Individual Expenditure Functions," Working Papers 20/2012, University of Verona, Department of Economics.
  • Handle: RePEc:ver:wpaper:20/2012
    as

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    File URL: http://dse.univr.it/home//workingpapers/MenonPaganiPerali.pdf
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    References listed on IDEAS

    as
    1. Richard Blundell & Pierre-Andre Chiappori & Thierry Magnac & Costas Meghir, 2007. "Collective Labour Supply: Heterogeneity and Non-Participation," Review of Economic Studies, Oxford University Press, vol. 74(2), pages 417-445.
    2. Laurens Cherchye & Bram De Rock & Frederic Vermeulen, 2012. "Married with Children: A Collective Labor Supply Model with Detailed Time Use and Intrahousehold Expenditure Information," American Economic Review, American Economic Association, vol. 102(7), pages 3377-3405, December.
    3. Peluso, Eugenio & Trannoy, Alain, 2007. "Does less inequality among households mean less inequality among individuals?," Journal of Economic Theory, Elsevier, vol. 133(1), pages 568-578, March.
    4. Chiappori, Pierre-André & Donni, Olivier, 2009. "Non-unitary Models of Household Behavior: A Survey of the Literature," IZA Discussion Papers 4603, Institute for the Study of Labor (IZA).
    5. Donni, Olivier, 2003. "Collective household labor supply: nonparticipation and income taxation," Journal of Public Economics, Elsevier, vol. 87(5-6), pages 1179-1198, May.
    6. Massimo Marinacci & Luigi Montrucchio, 2005. "Ultramodular Functions," Mathematics of Operations Research, INFORMS, vol. 30(2), pages 311-332, May.
    7. Geoffrey R. Dunbar & Arthur Lewbel & Krishna Pendakur, 2013. "Children's Resources in Collective Households: Identification, Estimation, and an Application to Child Poverty in Malawi," American Economic Review, American Economic Association, vol. 103(1), pages 438-471, February.
    8. Martina Menon & Federico Perali, 2012. "The Sharing Rule: Where Is It?," Working Papers 16/2012, University of Verona, Department of Economics.
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    Citations

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    Cited by:

    1. Lucia MANGIAVACCHI & Federico PERALI & Luca Piccoli, 2018. "Intrahousehold Distribution in Migrant-Sending Families," JODE - Journal of Demographic Economics, Cambridge University Press, vol. 84(1), pages 107-148, March.
    2. Jean-Paul Chavas & Martina Menon & Elisa Pagani & Federico Perali, 2017. "Collective Household Welfare and Intra-household Inequality," CHILD Working Papers Series 56 JEL Classification: D1, Centre for Household, Income, Labour and Demographic Economics (CHILD) - CCA.
    3. Chavas, Jean-Paul & Menon, Martina & Pagani, Elisa & Perali, Federico, 0. "Collective household welfare and intra-household inequality," Theoretical Economics, Econometric Society.
    4. Elisa Pagani, 2013. "Tricks for maximizing collective utility functions," Working Papers 02/2013, University of Verona, Department of Economics.

    More about this item

    Keywords

    Individual expenditure function; Collective household model; Concavity; Homogeneity;

    JEL classification:

    • C30 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - General
    • D11 - Microeconomics - - Household Behavior - - - Consumer Economics: Theory
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation

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