Gender-bias in India: the importance of household fixed-effects
Subramaniam, R.
Oxford Economic Papers 48(2): 280-299
1996
ISSN/ISBN: 0030-7653 DOI: 10.2307/2663728Document Number: 313528
An analysis of gender patterns in intra-household allocation of resources based on household-level consumption data from India is presented. Invoking the assumption that households seek to equalize the marginal utility of wealth when they allocate resources over the life-cycle, the paper provides a rationale for parental behaviour pertaining to the intertemporal allocation of goods among children. Estimation results based on panel data show that controlling for the unobserved marginal utility (household-fixed) effect is crucial. Once allowance is made for fixed effects, the results indicate that there is no longer any gender-differential in the allocation of resources.