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Intra-household inequality in transitional Russia

Citation

Kalugina, Ekaterina; Sofer, Catherine; & Radtchenko, Natalia (2009). Intra-household inequality in transitional Russia. Review of Economics of the Household, 7(4), 447-471.

Abstract

The paper proposes an original strategy for analyzing household sharing of income and satisfaction. Using two different subjective questions from the Russian data RLMS (Russia Longitudinal Monitoring Survey), we assume a correspondence between, first, the perception of income that household members report and their true income sharing, and, second, between their answer to a satisfaction question and their utility. We show that answers given by different members of the household bring pertinent information on income sharing and utility in the household. In particular, we find a significant effect of the female-male wage ratio in reported income perception and satisfaction differentials between household members. Our data covers the transition period (1994-2003) characterized by massive economic and social changes in Russia. We investigate the evolution of intra-household welfare distribution by exploiting the episode of the financial crisis of 1998 to distinguish two periods: pre- and post-crisis. Our empirical strategy consists of applying probit-type models allowing the parameters to change in a discrete manner between two periods and accounting for discrete unobserved heterogeneity.

URL

http://dx.doi.org/10.1007/s11150-009-9061-x

Reference Type

Journal Article

Year Published

2009

Journal Title

Review of Economics of the Household

Author(s)

Kalugina, Ekaterina
Sofer, Catherine
Radtchenko, Natalia