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Identification and estimation of a class of household production models

Author

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  • Marcel Kerkhofs

    (Institute for Labour Studies, Tilburg University, The Netherlands)

  • Peter Kooreman

    (Department of Economics, University of Groningen, POB 800, 9700 AV Groningen, The Netherlands)

Abstract

We consider a class of household production models characterized by a dichotomy property. In these models the amount of time spent on household production does not depend on the household utility function, conditional on household members having a paid job. We analyse the (non-parametric) identifiability of the production function and the so-called jointness function (a function describing which part of household production time is counted as pure leisure). It is shown that the models are identified in the two-adult case, but not in the single-adult case. We present an empirical application to Swedish time-allocation data. The estimates satisfy regularity conditions that were violated in previous studies and pass various specification tests. For this data set we find that male and female home production time are q-substitutes. Copyright © 2003 John Wiley & Sons, Ltd.

Suggested Citation

  • Marcel Kerkhofs & Peter Kooreman, 2003. "Identification and estimation of a class of household production models," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 18(3), pages 337-369.
    • Handle: RePEc:jae:japmet:v:18:y:2003:i:3:p:337-369
    DOI: 10.1002/jae.706
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    References listed on IDEAS

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    Cited by:

    1. Sam Allgood, 2009. "The Collective Household, Household Production and Efficiency of Marginal Reforms," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 11(5), pages 749-771, October.
    2. Koulovatianos, Christos & Schrder, Carsten & Schmidt, Ulrich, 2009. "Nonmarket Household Time and the Cost of Children," Journal of Business & Economic Statistics, American Statistical Association, vol. 27, pages 42-51.
    3. Leslie S. Stratton, 2012. "The Role of Preferences and Opportunity Costs in Determining the Time Allocated to Housework," American Economic Review, American Economic Association, vol. 102(3), pages 606-611, May.
    4. Antonella Caiumi & Federico Perali, 2015. "Who bears the full cost of children? Evidence from a collective demand system," Empirical Economics, Springer, vol. 49(1), pages 33-64, August.
    5. Jacobsen, Joyce P. & Kooreman, Peter, 2005. "Timing constraints and the allocation of time: The effects of changing shopping hours regulations in The Netherlands," European Economic Review, Elsevier, vol. 49(1), pages 9-27, January.
    6. Sam Cosaert & Veerle Hennebel, 2023. "Parental Childcare with Process Benefits," Economica, London School of Economics and Political Science, vol. 90(357), pages 339-371, January.
    7. Kertesi, Gábor & Kézdi, Gábor & Hajdu, Tamás, 2022. "Idő és pénz a gyermeknevelésben Magyarországon, 1993-2010 [Time and money in raising children in Hungary, 1993-2010]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(11), pages 1255-1297.
    8. Schwierz, Christoph, 2003. "The Effects of Taxes and Socioeconomic Variables on Market Work and Home Production in Norway in the Years 1970 to 2000," Memorandum 33/2003, Oslo University, Department of Economics.
    9. Mauro Mastrogiacomo & Nicole Bosch, 2006. "Income incentives to labour participation and home production; the contribution of the tax credits in the Netherlands," CPB Discussion Paper 59, CPB Netherlands Bureau for Economic Policy Analysis.
    10. Frick, Joachim R. & Grabka, Markus M. & Groh-Samberg, Olaf, 2012. "The Impact of Home Production on Economic Inequality in Germany," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 43(3), pages 1143-1169.
    11. Huffman, Wallace E., 2011. "Household Production and the Demand for Food and Other Inputs: U.S. Evidence," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 36(3), pages 1-23, December.
    12. Koulovatianos, Christos & Schrder, Carsten & Schmidt, Ulrich, 2009. "Nonmarket Household Time and the Cost of Children," Journal of Business & Economic Statistics, American Statistical Association, vol. 27, pages 42-51.
    13. Luis García, 2004. "Oferta de trabajo infantil y el trabajo en los quehaceres del hogar," Investigaciones, Consorcio de Investigación Económica y Social.
    14. Scheffel, Juliane, 2010. "Honey, I'll be working late tonight. The effect of individual work routines on leisure time synchronization of couples," SFB 649 Discussion Papers 2010-016, Humboldt University Berlin, Collaborative Research Center 649: Economic Risk.
    15. Garcia, Luis, 2007. "Who does the chores? Estimation of a household production function in Peru," MPRA Paper 23223, University Library of Munich, Germany.
    16. Mauro Mastrogiacomo & Nicole Bosch, 2006. "Income incentives to labour participation and home production; the contribution of the tax credits in the Netherlands," CPB Discussion Paper 59.rdf, CPB Netherlands Bureau for Economic Policy Analysis.
    17. Jim Been & Eduard Suari‐Andreu & Marike Knoef & Rob Alessie, 2024. "Consumption and time use responses to unemployment: Implications for the lifecycle model," Economica, London School of Economics and Political Science, vol. 91(361), pages 1-32, January.

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