Donni, Olivier, and Nicolas Moreau. 2007. “Collective Labor Supply: A Single-Equation Model and Some Evidence from French Data.” Journal of Human Resources 42(1): 214–246.
In Chiappori’s (1988) collective model of labor supply, hours of work are supposed flexible. In many countries, however, male labor supply does not vary much. In that case, the husband’s labor supply is no longer informative about the household decision process and individual preferences. To identify structural components of the model, additional information is needed. We thus consider an approach in which the wife’s labor supply is expressed as a function of the household demand for one specific good. We demonstrate that the main properties of Chiappori’s initial model are preserved and apply our results on French data.
Olivier Donni is an associate professor of economics at the University of Cergy-Pontoise, THEMA, also affiliated with CIRPEE and IZA. Nicolas Moreau is an assistant professor of economics at the University of Toulouse 1, GREMAQ, also affiliated with IZA. This paper was partly written while Nicolas Moreau was visiting CIRPEE, Université Laval, whose hospitality and financial support are gratefully acknowledged. The authors thank François Bourguignon, Abdel Rahmen El Lahga, and Jean-Marc Robin for useful comments and suggestions. They claim sole responsibility for any remaining errors. The data used in this article can be obtained beginning August 2007 through July 2010 from Nicolas Moreau, Gremaq, Université des Sciences Sociales de Toulouse, Manufacture des Tabacs, Aile J-J Laffont, 21 Allée de Brienne, 31000 Toulouse, France. Email: nicolas.moreau@univ-tlse1.fr.