Inequality, Poverty, and the Intra-Household Allocation of Consumption in Senegal

Vreyer, Philippe H. De; Lambert, Sylvie

doi:10.1093/wber/lhz052

Cited by 22 publications

(10 citation statements)

References 32 publications

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“…Nonetheless, we agree with these authors that further e¤orts at data collection could be made to obtain more precise tests of the identifying assumptions and more precise estimates of the model for validation. 46 Note that comparisons between observed and 45 These are (i) substitution e¤ects (between own consumption and family size), (ii) the necessity for the relative price of the adult goods not to change across demographic types (the implicit price of food goods may change, for instance, if the returns to scale in food production are not constant), (iii) the requirement for adult goods not to be inelastic with respect to total expenditure (some of the food items are relatively inelastic). 46 Large datasets would also provide the conditions of external (i.e.…”

Section: Concluding Discussionmentioning

confidence: 99%

“…46 Note that comparisons between observed and 45 These are (i) substitution e¤ects (between own consumption and family size), (ii) the necessity for the relative price of the adult goods not to change across demographic types (the implicit price of food goods may change, for instance, if the returns to scale in food production are not constant), (iii) the requirement for adult goods not to be inelastic with respect to total expenditure (some of the food items are relatively inelastic). 46 Large datasets would also provide the conditions of external (i.e. out-of-sample) validation using data-splitting approaches, for instance.…”

Section: Concluding Discussionmentioning

confidence: 99%

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Intrahousehold Resource Allocation and Individual Poverty: Assessing Collective Model Predictions using Direct Evidence on Sharing

Bargain

Lacroix

Tiberti

2021

The Economic Journal

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Welfare analyses conducted by policy practitioners around the world usually rely on equivalised or per-capita expenditures and ignore the extent of within-household inequality. Recent advances in the estimation of collective models suggest ways to retrieve the complete sharing process within families using homogeneity assumptions (typically preference stability upon exclusive goods across individuals or household types) and the observation of exclusive goods. So far, the prediction of these models has not been validated, essentially because intrahousehold allocation is seldom observed. We provide such a validation by leveraging a unique dataset from Bangladesh, which contains information on the fully individualised expenditures of each family member. We also test the core assumption (efficiency) and homogeneity assumptions used for identification. It turns out that the collective model predicts individual resources reasonably well when using clothing, i.e., one of the rare goods commonly assignable to male, female and children in standard expenditure surveys. It also allows identifying poor individuals in non-poor households while the traditional approach understates poverty among the poorest individuals.

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Section: Concluding Discussionmentioning

confidence: 99%

Section: Concluding Discussionmentioning

confidence: 99%

Intrahousehold Resource Allocation and Individual Poverty: Assessing Collective Model Predictions using Direct Evidence on Sharing

Bargain

Lacroix

Tiberti

2021

The Economic Journal

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“…Multi-topic household surveys are an ideal source of information on these different dimensions, and to better highlight the socioeconomic and demographic profiles of asset owners for accurate policy targeting. When included in surveys, however, variables on wealth (as well as other welfare aggregates such as consumption, on which national measures of inequality are based), are often collected at the household level (De Vryer and Lambert, 2021;OECD, 2013), or by a single member reporting for others (Hasanbasri et al, 2021b). Household-level measures of inequality, however, can inherently mask unequal resource allocation and welfare outcomes among individuals (Chiappori and Meghir, 2015;Haddad and Kanbur, 1990).…”

Section: Introductionmentioning

confidence: 99%

Individual Wealth Inequality: Measurement and Evidence from Low- and Middle-Income Countries

Hasanbasri¹,

Kilic²,

Koolwal³

et al. 2022

Policy Research Working Papers

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The Policy Research Working Paper Series disseminates the findings of work in progress to encourage the exchange of ideas about development issues. An objective of the series is to get the findings out quickly, even if the presentations are less than fully polished. The papers carry the names of the authors and should be cited accordingly. The findings, interpretations, and conclusions expressed in this paper are entirely those of the authors. They do not necessarily represent the views of the International Bank for Reconstruction and Development/World Bank and its affiliated organizations, or those of the Executive Directors of the World Bank or the governments they represent.

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“…Contributions includeHaddad and Kanbur (1990),Findlay and Wright (1996),Lise and Seitz (2011),Bargain et al (2018),De Vreyer and Lambert (2020).…”

mentioning

confidence: 99%

“…For further discussion of intra-household inequality in Senegal and its implications for the measurement of poverty see DeVreyer and Lambert (2020).…”

mentioning

confidence: 99%

Unpacking Household Engel Curves

Vreyer¹,

Lambert²,

Ravallion³

2020

Self Cite

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The classic Working-Leser household Engel curve is unpacked to reveal individual budget allocations across commodities as a function of both individual and household total spending. Two main findings emerge on calibrating our model to an unusual sub-household dataset for Senegal. First, for all except education spending, our results are consistent with the separable structures found in two-stage bargaining and collective models of the household. Second, there are large biases in standard household Engel-curve estimates when compared to consistently aggregated sub-household estimates, though in differing degrees and directions depending on the type of commodity. The main source of bias is a household effect on sub-household spending behavior, though this is partially offset by a bias due to intra-household inequality, which emerges as a confounder in aggregating to the household level.

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Inequality, Poverty, and the Intra-Household Allocation of Consumption in Senegal

Abstract: JEL classification codes: C81, D13, D31, I32, O12, O15

Cited by 22 publications

References 32 publications

Intrahousehold Resource Allocation and Individual Poverty: Assessing Collective Model Predictions using Direct Evidence on Sharing

Intrahousehold Resource Allocation and Individual Poverty: Assessing Collective Model Predictions using Direct Evidence on Sharing

Individual Wealth Inequality: Measurement and Evidence from Low- and Middle-Income Countries

Unpacking Household Engel Curves

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