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dc.contributor.authorBargain, Olivieren_US
dc.contributor.authorDonni, Olivieren_US
dc.date.accessioned2010-12-16T13:35:04Z-
dc.date.available2010-12-16T13:35:04Z-
dc.date.issued2007en_US
dc.identifier.urihttp://hdl.handle.net/10419/43319-
dc.description.abstractThere is a large empirical literature on policy measures targeted at children but surprisingly very little theoretical foundation to ground the debate on the optimality of the different instruments. In the present paper, we examine the merit of targeting children through two general policies, namely selective commodity taxation and cash transfer to family with children. We consider a household that comprises an adult and a child. The household behavior is described by the maximization of the adult's utility function, which depends on the child's welfare, subject to a budget constraint. The relative effects of a price subsidy and of a cash benefit on child welfare are then derived. In particular, it is shown that 'favorable' distortions from the price subsidies may allow to redistribute toward the child. The framework is extended to account for possible paternalistic preferences of the State. Finally, it is shown that, in contrast to the traditional view, well-chosen subsidies can be more cost effective than cash transfers in alleviating child poverty.en_US
dc.language.isoengen_US
dc.publisheren_US
dc.relation.ispartofseriesWorking paper series // UCD Centre for Economic Research 2007/03en_US
dc.subject.jelD13en_US
dc.subject.jelD31en_US
dc.subject.jelD63en_US
dc.subject.jelH21en_US
dc.subject.jelH31en_US
dc.subject.ddc330en_US
dc.subject.keywordcommodity taxationen_US
dc.subject.keywordchild benefiten_US
dc.subject.keywordtargetingen_US
dc.subject.keywordintrahousehold distributionen_US
dc.subject.keywordsocial welfareen_US
dc.subject.keywordpaternalismen_US
dc.subject.keywordlabelingen_US
dc.subject.stwFamilienpolitiken_US
dc.subject.stwKinderen_US
dc.subject.stwFamilienleistungsausgleichen_US
dc.subject.stwSubventionen_US
dc.subject.stwWohlfahrtseffekten_US
dc.subject.stwTheorieen_US
dc.titleA theory of child targetingen_US
dc.typeWorking Paperen_US
dc.identifier.ppn550442618en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungenen_US
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