A Note on Separability and Intra-Household Resource Allocation in a Collective Household Model

SMU Economics & Statistics Working Paper No. 06-2012

Review of Economics of the Household, Vol. 11(1), 143-149, 2013

8 Pages Posted: 21 Mar 2012 Last revised: 10 Aug 2013

See all articles by Tomoki Fujii

Tomoki Fujii

Singapore Management University - School of Economics

Ryuichiro Ishikawa

Waseda University-SILS

Date Written: March 20, 2012

Abstract

We consider a collective model of a household in which each member has a utility function satisfying the weak separability condition. We show that the separability at the individual level carries over to the household level and that the allocation of private goods in any Pareto-efficient allocation can be supported as a Pareto-efficient allocation of the private sub-problem. We also provide the necessary and sufficient condition for the Pareto weight for the private sub-problem to move in the same direction as the household Pareto weight.

Keywords: collective model, intra-household resource allocation, bargaining, separability

JEL Classification: C78, D01, D11

Suggested Citation

Fujii, Tomoki and Ishikawa, Ryuichiro, A Note on Separability and Intra-Household Resource Allocation in a Collective Household Model (March 20, 2012). SMU Economics & Statistics Working Paper No. 06-2012. Available at SSRN: https://ssrn.com/abstract=2026344 or http://dx.doi.org/10.2139/ssrn.2026344

Tomoki Fujii (Contact Author)

Singapore Management University - School of Economics ( email )

90 Stamford Road
178903
Singapore
+6568280279 (Phone)
+6568280833 (Fax)

HOME PAGE: http://www.mysmu.edu/faculty/tfujii/

Ryuichiro Ishikawa

Waseda University-SILS ( email )

Shinjuku, Tokyo 1658050
Japan

HOME PAGE: http://www.f.waseda.jp/r.ishikawa/

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