Journal article
For worse? Financial hardships and intra-household resource allocation among Australian couples
F Botha, DC Ribar
Economic Modelling | Elsevier | Published : 2023
Abstract
This article investigates differences in husbands' and wives' experiences of financial hardships. It develops and estimates a structural collective household model of expenditures on individual-specific necessities and hardship reporting where each partner has distinct preferences and the household makes Pareto efficient decisions. Using data from the Household, Income, and Labour Dynamics in Australia Survey with unique questions on individual financial hardships, we examine whether differences in preferences, bargaining power, or other characteristics within households affect the distribution of hardships. Wives in our data report more financial hardships than husbands. Estimates from our ..
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Awarded by Australian Government
Funding Acknowledgements
This paper uses the unit record file from the Household, Income and Labour Dynamics in Australia (HILDA) Survey. The HILDA Project was initiated and is funded by the Commonwealth Department of Family, Housing, Community Services and Indigenous Affairs and is managed by the Melbourne Institute: Applied Economic & Social Research. The authors thank Viet Nguyen, Niels-Hugo Blunch, participants at the 2020 Southern Economic Association meetings, and two anonymous referees for helpful comments. The findings and views reported in this paper are those of the authors only. The paper's analysis data were extracted using PanelWhiz, a Stata add-on package written by John de New. This research was supported by the Australian Government through the Australian Research Council's Centre of Excellence for Children and Families over the Life Course (Project ID CE140100027 and CE200100025).