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We propose a method to identify bounds (i.e. set identification) on the sharing rule for a general collective household … bounds by applying revealed preference restrictions implied by the collective model to the household's continuous aggregate … assignable within the household, though having such information tightens the bounds. An empirical application demonstrates the …
Persistent link: https://www.econbiz.de/10010282606
We present identification and estimation results for the collective model of labour supply in which there are discrete choices, censoring of hours and nonparticipation in employment. We derive the collective restrictions on labour supply functions and contrast them with restrictions implied by...
Persistent link: https://www.econbiz.de/10010332988
on how many hours to work with obvious consequences for the household budget. We therefore model consumption and labor …
Persistent link: https://www.econbiz.de/10010277211
We show that as household size increases, households substitute away from prepared foods and towards ingredients. They …), mean that across household sizes, household market expenditures on food are not proportional to food consumption quantities …
Persistent link: https://www.econbiz.de/10010292995
household. We further propose a novel approach to model special cases of the general collective model. These special cases … include alternative restrictions on the 'sharing rule' that applies to each household, and which defines the distribution of … the household budget over the household members. A limiting case is the unitary model. Our application uses data from the …
Persistent link: https://www.econbiz.de/10010267601
This work consists of two parts: First, it is shown that for a two-dimensional commodity space any homothetic utility function that rationalizes each pair of observations in a set of consumption data also rationalizes the entire set of observations. The result is stated as a pairwise version of...
Persistent link: https://www.econbiz.de/10010264708
This paper deals with different concepts of income elasticities of demand for a heterogenous population and the relationship between individual and aggregate elasticities is analyzed. In general, the aggregate elasticity is not equal to the mean of individual elasticities. The difference depends...
Persistent link: https://www.econbiz.de/10010264907
Revealed Preference offers nonparametric tests for whether consumption observations can be rationalized by a utility function. If a consumer is inconsistent with GARP, we might need a measure for the severity of inconsistency. One widely used measure is the Afriat efficiency index (AEI). We...
Persistent link: https://www.econbiz.de/10010271072
A nonparametric approach is presented to test whether decisions on a probability simplex could be induced by quasiconcave preferences. Necessary and sufficient conditions are presented. If the answer is affirmative, the methods developed here allow to reconstruct bounds on indifference curves....
Persistent link: https://www.econbiz.de/10010271393
The transferable utility hypothesis underlies important theoretical results in household economics. We provide a … revealed preference conditions that must be satisfied for observed household consumption behavior to be consistent with …
Persistent link: https://www.econbiz.de/10011599534