Collective and Unitary Models: A Clarification.

In this note we identify and clarify a confusion that has arisen in the literature about the exact relationship between unitary and collective models and what enters the Pareto weight and the sharing function. We suggest that we should denote as 'unitary' any model that leads to outcomes t...

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Main Authors: Browning, M, Chiappori, P, Lechene, V
Format: Journal article
Language:English
Published: 2006
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author Browning, M
Chiappori, P
Lechene, V
author_facet Browning, M
Chiappori, P
Lechene, V
author_sort Browning, M
collection OXFORD
description In this note we identify and clarify a confusion that has arisen in the literature about the exact relationship between unitary and collective models and what enters the Pareto weight and the sharing function. We suggest that we should denote as 'unitary' any model that leads to outcomes that satisfy the Slutsky conditions whether or not these outcomes depend on distribution factors. In particular, income pooling is neither necessary nor sufficient for a unitary model. We also show that the presence of prices or total expenditure in the sharing rule cannot be used as a test for a unitary model.
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spelling oxford-uuid:70ca39ae-fcbd-4c01-b9e3-30e69b6d53602022-03-26T19:39:33ZCollective and Unitary Models: A Clarification.Journal articlehttp://purl.org/coar/resource_type/c_dcae04bcuuid:70ca39ae-fcbd-4c01-b9e3-30e69b6d5360EnglishDepartment of Economics - ePrints2006Browning, MChiappori, PLechene, VIn this note we identify and clarify a confusion that has arisen in the literature about the exact relationship between unitary and collective models and what enters the Pareto weight and the sharing function. We suggest that we should denote as 'unitary' any model that leads to outcomes that satisfy the Slutsky conditions whether or not these outcomes depend on distribution factors. In particular, income pooling is neither necessary nor sufficient for a unitary model. We also show that the presence of prices or total expenditure in the sharing rule cannot be used as a test for a unitary model.
spellingShingle Browning, M
Chiappori, P
Lechene, V
Collective and Unitary Models: A Clarification.
title Collective and Unitary Models: A Clarification.
title_full Collective and Unitary Models: A Clarification.
title_fullStr Collective and Unitary Models: A Clarification.
title_full_unstemmed Collective and Unitary Models: A Clarification.
title_short Collective and Unitary Models: A Clarification.
title_sort collective and unitary models a clarification
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