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The Collective Farm-Household Model: Policy and Welfare Simulations

Author

Listed:
  • Eleonora Matteazzi

    (Department of Economics (University of Verona))

  • Martina Menon

    (Department of Economics (University of Verona))

  • Federico Perali

    (Department of Economics (University of Verona))

Abstract

This study develops a household enterprise model extended to encompass recent advances in collective theory. We use a simulation model, in which production and consumption-leisure choices are represented along with the rule governing intra-household resource allocation, to analyze the income and wage responses of each family member. The household is treated as an equilibrium model whose accounts are based on a household social accounting matrix, and the social classes are the wife/husband classes. The simulation analysis illustrates the policy relevance of the collective approach to household behavior for inferring the impact of economic policies on individual welfare levels.

Suggested Citation

  • Eleonora Matteazzi & Martina Menon & Federico Perali, 2013. "The Collective Farm-Household Model: Policy and Welfare Simulations," Working Papers 20/2013, University of Verona, Department of Economics.
    • Handle: RePEc:ver:wpaper:20/2013
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    Cited by:

    1. Jean-Paul Chavas & Eleonora Matteazzi & Martina Menon & Federico Perali, 2021. "Bargaining in the Family," CHILD Working Papers Series 88 JEL Classification: D1, Centre for Household, Income, Labour and Demographic Economics (CHILD) - CCA.
    2. Maria Gabriella Campolo & Antonino Di Pino, 2020. "Selectivity of Bargaining and the Effect of Retirement on Labour Division in Italian Couples," Journal of Family and Economic Issues, Springer, vol. 41(4), pages 639-657, December.
    3. Donni, Olivier & Molina, José Alberto, 2018. "Household Collective Models: Three Decades of Theoretical Contributions and Empirical Evidence," IZA Discussion Papers 11915, Institute of Labor Economics (IZA).
    4. Echeverría, Lucía, 2020. "Modelos colectivos de consumo y distribución intra-hogar. Teoría y aplicaciones," Nülan. Deposited Documents 3832, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    5. Diksha Arora & Codrina Rada, 2020. "Gender norms and intrahousehold allocation of labor in Mozambique: A CGE application to household and agricultural economics," Agricultural Economics, International Association of Agricultural Economists, vol. 51(2), pages 259-272, March.
    6. Jean-Paul Chavas & Eleonora Matteazzi & Martina Menon & Federico Perali, 2022. "(In)Efficient Bargaining in the Family," Working Papers 2, SITES.
    7. Elisa Meneghello & Martina Menon & Federico Perali & Furio Rosati, 2022. "The Shadow Wage of Child Labor: An application to Nepal," Working Papers 8, SITES.

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    More about this item

    Keywords

    Collective household enterprise model; sharing rule; household production; household social accounting matrix; simulation analysis;
    All these keywords.

    JEL classification:

    • D11 - Microeconomics - - Household Behavior - - - Consumer Economics: Theory
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis

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