Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/20810
Authors: 
Donni, Olivier
Year of Publication: 
2005
Series/Report no.: 
IZA Discussion paper series 1511
Abstract: 
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).
Subjects: 
household
collective model
labor supply
home production
welfare analysis
identification
JEL: 
J22
D13
Document Type: 
Working Paper

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