Staff Report 195

Gender Differences in Education in a Dynamic Household Bargaining Model

Antonio Merlo
Cristina Echevarria

Published August 1, 1995

We interpret observed gender differences in education as the equilibrium outcome of a two-sex overlapping generations model where men and women of each generation bargain over consumption, number of children, and investment in education of their children conditional on gender. This model represents a new framework for the analysis of the process of intrahousehold decision making in an intergenerational setting.

Published In: International Economic Review (Vol. 40, No. 2, May 1999, pp. 265-286)

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