Intrahousehold allocation of resources and household deprivation

Economics

Speaker:Ana Moro, University of Granada
Date: Friday 17 March 2017
Time: 15.30
Location: Matrix Lecture Theatre, Building One

Further details

This paper analyses to what extent the financial regimen of the couple, defined in terms of the level of income pooling and decision-making responsibilities, is associated with different levels of household deprivation and also with specific domains of deprivation: economic strain, durables and housing. We conclude that contributing incomes to the household, either totally or partially, reduces deprivation, specifically economic strain. This reduction is even more noticeable in the presence of children. We also find that sharing responsibility on decision-making reduces deprivation. In particular by areas of decision we find: first, deprivation is not significantly influenced by which member of the couple, either man or woman or both, has most decision-making responsibilities in terms of durables; second, sharing decisions on borrowing and about children related issues always reduces the level of deprivation; third, if the woman decides about everyday shopping deprivation diminishes, unless if she is the one who earns more in the couple; finally if the man decides about savings deprivation decreases, moreover when he is the most educated in the household, and even more in economic strain domain. All these results give evidence of the need of taking into account the standard determinants of deprivation together with variables that capture the ways in which household members make decisions and how they pool incomes in designing policies to reduce deprivation.