SELF-REPORTED ECONOMIC CONDITION AND HOME PRODUCTION: INTRA-HOUSEHOLD ALLOCATION IN ITALY
The authors are grateful to the project group ‘Temp del vie.Travail domestique et organisation des temps de vie dans les menages’: Dominique Anxo, Katherina Kalugina, Letizia Mencarini, Ariane Pailhe, Natalia Radchenko, Catherine Sofer, Anne Solaz, and Maria Letizia Tanturri for all the suggestions they offered during the project meetings. They are also grateful to Federico Biagi for his detailed comments on an earlier version of this paper presented at the XX Siep meeting in Pavia and to participants at the Kiel Conference on Income Distribution and the Family. Thanks are extended to Luca Piccoli for his suggestions on the econometric model and Andrew Clark for help regarding the use of subjective data. The authors would like to thank two anonymous referees whose individual comments and useful suggestions were very helpful in improving the quality of the paper. All errors are our own.
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.