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Economies of scale in the household: puzzles and patterns from the American past

Citation

Logan, Trevon D. (2011). Economies of scale in the household: puzzles and patterns from the American past. Economic Inquiry, 49(4), 1008-1028.

Abstract

Estimates of household economies of scale are critical for measuring income and living standards, yet we know little about how these scale economies change over time. I use American household expenditure surveys to produce the first comparable historical estimates of household scale economies. I find that scale economies changed significantly from 1888 to 1935 for all expenditure categories considered (food, clothing, entertainment, and housing), but not all trends in scale economies are consistent with theoretical predictions. As such, our notions about household economies of scale must be reassessed in light of this historical evidence.

URL

http://dx.doi.org/10.1111/j.1465-7295.2009.00240.x

Reference Type

Journal Article

Year Published

2011

Journal Title

Economic Inquiry

Author(s)

Logan, Trevon D.