An Empirical Analysis of Joint Household Decisions, with Taxes and Quantity Constraints

@inproceedings{Aaberge1999AnEA,
  title={An Empirical Analysis of Joint Household Decisions, with Taxes and Quantity Constraints},
  author={R. Aaberge and U. Colombino and S. Str{\o}m},
  year={1999}
}
This study applies an econometric framework that allows for complex non-convex budget sets, highly nonlinear labour supply curves and imperfect markets with institutional constraints. A married couple's version of the model is estimated on Italian microdata. The empirical results show that male labour supply is rather inelastic while labour supply among females, especially participation, is considerably more elastic. The elasticities depend strongly on household income. The largest elasticities… Expand
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