Labor supply, home production and welfare comparisons
By: by Olivier Donni.
Series: Discussion paper ;; no. 1511; Discussion paper (Forschungsinstitut zur Zukunft der Arbeit : Online) ;; no. 1511
Publisher: IZA
Published: 2005
Place of publication: Bonn, Germany
Language: eng
Format: Electronic resource
Subjects: Households -- Economic aspects -- Mathematical models.; Labor supply -- Mathematical models.
Description: "We consider the collective model of labor supply with marketable domestic production. We first show that, if domestic production is mistakenly ignored, the "collective" indirect utilities that are retrieved from observed behavior will be unbiased if and only if the profit function is additive. Otherwise, in the non-additive case, the direction and the size of the bias will depend on the complementarity/substitutability of spouses' time inputs in the production process. We then show that, even if domestic labor supplies are not observed, valid welfare comparisons are possible. This identification result generalizes that in Chiappori (1992)"--Forschungsinstitut zur Zukunft der Arbeit web site.
Notes: Also available in print.
Includes bibliographical references.
Title from PDF file as viewed on 4/19/2005.
System requirements: Adobe Acrobat Reader.
Mode of access: World Wide Web.