THE SIZE OF HOUSEHOLD PRODUCTION: METHODOLOGICAL PROBLEMS AND ESTIMATES FOR THE FEDERAL REPUBLIC OF GERMANY IN THE PERIOD 1964 TO 19801

Ronald Schettkat

Review of Income and Wealth, 1985, vol. 31, issue 3, 309-321

Abstract: Household production as well as other informal economic activities have received scant attention in economic science. In the last decade the view has been taken that there has been a big shift from formal to informal production. In order to examine this trend this article presents estimates for the size of household production for the Federal Republic of Germany which are based on time‐budget data collected from 1964 to 1980. To show the sensitivity of the results two different estimating methods the Opportunity Cost Method and the Market Cost Method, are used. Since productivity growth took place not only in the formal economy but also in household production, estimates will be presented which take productivity growth explicitly into account. The article concludes with a comparison of estimates for other countries.

Date: 1985
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