Home Production, Setup Costs, and Welfare

M. M.C. Burda, Daniel Hamermesh and Philippe Weil

ULB Institutional Repository from ULB -- Universite Libre de Bruxelles

Abstract: This chapter examines how home production is chosen in the household context and explores the welfare implications of home production in the EU and USA. It begins by reviewing and extending the theory of home production. Empirical evidence presented in Chapter 1 showed not only that household work is a significant component of All Work, but also that it varies widely across households and across persons within households. It is shown that there are good theoretical reasons to suspect that the decision to move from no market work to some market work involves the expenditure of time and material resources. This suggests a natural econometric test, namely to see whether the decision to work changes the allocation of time in a smooth fashion or in fact 'disrupts' the allocation of time and material resources to other activities. The chapter concludes with some speculation as to what we can say about these EU-US differences in work and time use.

Keywords: EU; Home production; Household work; Labour supply; US; Welfare (search for similar items in EconPapers)
Date: 2008-05
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ulb:ulbeco:2013/204640

Ordering information: This working paper can be ordered from
http://hdl.handle.ne ... lb.ac.be:2013/204640

Access Statistics for this paper

More papers in ULB Institutional Repository from ULB -- Universite Libre de Bruxelles Contact information at EDIRC.
Bibliographic data for series maintained by Benoit Pauwels ().