Productivity, Health and Inequality in the IntraHH Distribution of Food Flashcards Preview

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Flashcards in Productivity, Health and Inequality in the IntraHH Distribution of Food Deck (14):

Authors of the paper?

Pitt et al (1990).


Why do men receive more food than women?

Reflects the disparities in labour-market opportunities between men and women, with monetary returns to a household from the allocation of food to a man being greater.


The experiment:

Studied 345 households from 15 villages in BANGLADESH.
Examine the relationship between the HH distribution of foods and labour-market activities in the context of a model incorporating:
1. linkages among food consumption, health and labour-market productivity, and;
2. individual heterogeneity in inherent or 'endowed' healthiness.


Assumptions of the models used:

Health status is influenced by food consumption, effort expended in work, and endowed health.
Food augments health and effort decreases health.
Effort is rewarded in labour-market with a wage.
Increases in health status increase utility, work effort decreases utility.
Individuals participating in activities with higher returns will eat more food.


Endogeneity bias issues

Health status is estimated directly and based on these estimates and the actual resources consumed by each individual, individual-specific endowments are computed.
BUT... consumption, effort and the unobserved endowment will be correlated --> therefore use IVs.


Measurement error issues

E.g. individual-specific levels of nutrient intake.
Consistent parameter estimates in the presence of errors in variables can be obtained using IVs.
The longitudinal component of the data set (cross-sectional sample) removes measurement error.


Independent and dependent variables:

Dependent: weight for height.
Independent: age age^2, sex, (sex x age), and dummies indicating the source of the household's drinking water.


2SLS estimates:

Calorie consumption increases W4H. Participating in exceptionally active occupations depletes W4H (the effect of these occupations is 8 times greater than for less active occupations).


A 10% increase in a man's health endowment increases his calorie allocation by...?

6.8%. The endowment effect for women is one tenth that of men - consistent with the theory that women participate in less active jobs and health matters more to the wages of men.


Why do male and female young children have the smallest endowment effects?

There is no labour-market return to higher endowments for these individuals.


A 10% increase in health endowment of 6-12 year olds increases calorie consumption by how much?

Boys: 9.2%.
Girls: 18.6%.
At this age, boys go to school while girls do active housework.


A 10% increase in the health endowment of adults increases calorie consumption by how much?

Men: 12.1%
Women: 0.9%.
Men work on farms, women do housework.


Relationship between income and average endowments

Men: positive and significant.
Women: 1/6 the size that of men and insignificant.
Health endowments are not important in determining activity choices for women but they are for men and the activity choices determine household income.


How can you increase the calorie intake of women?

Increase the labour-force opportunities for women.
BUT... the health and welfare benefits of increased calorie consumption will be tempered by the increased level of energy-intensive activity associated with greater calorie consumption.