NDLI: Collective Models of Labor Supply with Nonconvex Budget Sets and Nonparticipation: A Calibration Approach

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Collective Models of Labor Supply with Nonconvex Budget Sets and Nonparticipation: A Calibration Approach

Content Provider	Semantic Scholar
Author	Vermeulen, Frederic Bargain, Olivier Beblo, Miriam Beninger, Denis Blundell, Richard Carrasco, Raquel Chiuri, Maria-Concetta Laisney, François Lechene, Valérie Moreau, N. Myck, Michal Ruiz-Castillo, Javier
Copyright Year	2006
Abstract	We suggest a methodology to calibrate a collective model with household-specific bargaining rules and marriage-specific preferences that incorporate leisure externalities. The empirical identification relies on the assumption that some aspects of individual preferences remain the same after marriage, so that estimation on single individuals can be used. The procedure maps the complete Pareto frontier of each household in the dataset and we define alternative measures of a power index. The latter is then regressed on relevant bargaining factors, including a set of variables retracing the potential relative contributions of the spouses to household disposable income. In its capacity to handle complex budget sets and labor force participation decisions of both spouses, this framework allows the comparison of unitary and collective predictions of labor supply reactions and welfare changes entailed by fiscal reforms in a realistic setting (see Michal Myck et al., 2006; Denis Beninger et al., 2006).
Starting Page	113
Ending Page	127
Page Count	15
File Format	PDF HTM / HTML
DOI	10.1007/s11150-006-0002-7
Volume Number	4
Alternate Webpage(s)	https://e-archivo.uc3m.es/bitstream/handle/10016/4736/collective_REH_2006_ps.pdf;jsessionid=043B2E4824EDECFA99B49674AC22D792?sequence=2
Alternate Webpage(s)	https://www.wiso.uni-hamburg.de/fachbereich-sozoek/professuren/beblo/04-forschung/01-publikationen/01-publ-beblo/publ-beblo-einzeldateien/002t-2006-collective-models-labor-supply-beblo-et-al.pdf
Alternate Webpage(s)	https://doi.org/10.1007/s11150-006-0002-7
Language	English
Access Restriction	Open
Content Type	Text
Resource Type	Article

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