• collective model;
  • full income;
  • household production;
  • intra-household inequality;
  • Italy;
  • subjective wellbeing;
  • time use;
  • D13;
  • J16;
  • J22;
  • O52


This paper applies a collective model of intra-household welfare distribution using individual self-reported data. The model accounts for household production, and self-reported information on economic condition is used to identify the sharing rule governing the bargaining process in the family. The theoretical framework implies a broad concept of full income, which includes household production as time allocated to domestic activities. We find that self-reported data on economic status are useful in recovering individual shares of household income and that both wages and non-strictly-economic individual variables play an important role in the bargaining process determining the sharing rule in Italy.