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Title:The measurement of child costs: a rothbarth-type method consistent with scale economies PDF Logo
Authors:Bargain, Olivier
Donni, Olivier
Issue Date:2009
Series/Report no.:IZA Discussion Papers 4654
Abstract:We propose a new methodology to estimate the share of household income accruing to children (i.e., the cost of children). Following the principle of the Rothbarth approach, the identification of the children's share requires the observation of at least one adult-specific good. However, our method differs from this traditional approach in that it allows measuring economies of scale in the household and indifference scales in Lewbel (2003)'s sense. We illustrate the method with an application on the French Household Budget Survey.
Subjects:Consumer demand
collective model
Rothbarth method
cost of children
scale economies
equivalence scales
indifference scales
JEL:D11
D12
C30
D36
I31
J12
Document Type:Working Paper
Appears in Collections:IZA Discussion Papers, Forschungsinstitut zur Zukunft der Arbeit (IZA)

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