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Nutrition and Risk Sharing within the Household

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  • Dubois, Pierre
  • Ligon, Ethan

Abstract

Using data on individual consumption from farm households in the Philippines, we construct a direct test of risk-sharing within the household. We contrast the efficient outcomes predicted by the unitary household model with the outcomes we might expect if food consumption delivers not only utils, but also nutrients affecting future productivity. The efficiency conditions which characterize the within household allocation of food under the unitary model are violated, as consumption responds to earnings shocks. If productivity depends on nutrition, this explains some but not all of the response, as earnings “surprises” have some effect on the cost and composition of diet.

Suggested Citation

  • Dubois, Pierre & Ligon, Ethan, 2009. "Nutrition and Risk Sharing within the Household," TSE Working Papers 09-108, Toulouse School of Economics (TSE).
  • Handle: RePEc:tse:wpaper:21967
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    Cited by:

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    2. Hoel, Jessica B. & Hidrobo, Melissa & Bernard, Tanguy & Ashour, Maha, 2017. "Productive inefficiency in dairy farming and cooperation between spouses: Evidence from Senegal:," IFPRI discussion papers 1698, International Food Policy Research Institute (IFPRI).
    3. Jonathan Robinson, 2012. "Limited Insurance within the Household: Evidence from a Field Experiment in Kenya," American Economic Journal: Applied Economics, American Economic Association, vol. 4(4), pages 140-164, October.

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    More about this item

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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