Consumption and Children.
Consumption by couples rises sharply in the beginning and falls later in life; the causes of the early rise are hotly contested. Among the suggestions are rule of thumb behavior, demographics, liquidity constraints, the precautionary motive, and nonseparabilities between consumption and labor supply...
| Main Authors: | , |
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| Format: | Journal article |
| Language: | English |
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MIT Press
2009
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| _version_ | 1797055638839230464 |
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| author | Browning, M Ejrnaes, M |
| author_facet | Browning, M Ejrnaes, M |
| author_sort | Browning, M |
| collection | OXFORD |
| description | Consumption by couples rises sharply in the beginning and falls later in life; the causes of the early rise are hotly contested. Among the suggestions are rule of thumb behavior, demographics, liquidity constraints, the precautionary motive, and nonseparabilities between consumption and labor supply. We develop two tests of the extreme hypothesis that only changes in family structure matter. We estimate effects of the numbers and ages of children on consumption. These estimates allow us to rationalize all of the increase in consumption without recourse to any of the causal mechanisms. Our estimates can be interpreted either as giving upper bounds on the effects of children or as evidence that the other causes are not important. |
| first_indexed | 2024-03-06T19:12:38Z |
| format | Journal article |
| id | oxford-uuid:1745553a-7c0a-4728-9a96-9686616b86f8 |
| institution | University of Oxford |
| language | English |
| last_indexed | 2024-03-06T19:12:38Z |
| publishDate | 2009 |
| publisher | MIT Press |
| record_format | dspace |
| spelling | oxford-uuid:1745553a-7c0a-4728-9a96-9686616b86f82022-03-26T10:36:19ZConsumption and Children.Journal articlehttp://purl.org/coar/resource_type/c_dcae04bcuuid:1745553a-7c0a-4728-9a96-9686616b86f8EnglishDepartment of Economics - ePrintsMIT Press2009Browning, MEjrnaes, MConsumption by couples rises sharply in the beginning and falls later in life; the causes of the early rise are hotly contested. Among the suggestions are rule of thumb behavior, demographics, liquidity constraints, the precautionary motive, and nonseparabilities between consumption and labor supply. We develop two tests of the extreme hypothesis that only changes in family structure matter. We estimate effects of the numbers and ages of children on consumption. These estimates allow us to rationalize all of the increase in consumption without recourse to any of the causal mechanisms. Our estimates can be interpreted either as giving upper bounds on the effects of children or as evidence that the other causes are not important. |
| spellingShingle | Browning, M Ejrnaes, M Consumption and Children. |
| title | Consumption and Children. |
| title_full | Consumption and Children. |
| title_fullStr | Consumption and Children. |
| title_full_unstemmed | Consumption and Children. |
| title_short | Consumption and Children. |
| title_sort | consumption and children |
| work_keys_str_mv | AT browningm consumptionandchildren AT ejrnaesm consumptionandchildren |