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A distribution factor generates exogenous variation in household members’ bargaining weights, and therefore, it helps identify a collective model. We derive testable hypotheses of the exogeneity of a single distribution factor in a general collective model. Next, we test whether the local sex...
Persistent link: https://www.econbiz.de/10014263317
Identifying a collective model requires a distribution factor that generates exogenous variation in bargaining weights between family members. We propose a method to test the exogeneity of a distribution factor. In derivation, we assume a general dynamic collective model which allows for...
Persistent link: https://www.econbiz.de/10013296290