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Gender norms and intra-household allocation of labor: a CGE application to household economics

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Gender norms and intra-household allocation of labor: a CGE application to household economics

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This presentation was given by Diksha Arora (CIAT), as part of the Annual Scientific Conference hosted by the CGIAR Collaborative Platform for Gender Research. The event took place on 5-6 December 2017 in Amsterdam, the Netherlands, where the Platform is hosted (by KIT Royal Tropical Institute).

Read more: http://gender.cgiar.org/gender_events/annual-scientific-conference-capacity-development-workshop-cgiar-collaborative-platform-gender-research/

This presentation was given by Diksha Arora (CIAT), as part of the Annual Scientific Conference hosted by the CGIAR Collaborative Platform for Gender Research. The event took place on 5-6 December 2017 in Amsterdam, the Netherlands, where the Platform is hosted (by KIT Royal Tropical Institute).

Read more: http://gender.cgiar.org/gender_events/annual-scientific-conference-capacity-development-workshop-cgiar-collaborative-platform-gender-research/

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Gender norms and intra-household allocation of labor: a CGE application to household economics

  1. 1. Gender norms and intra-household allocation of labor: A CGE application to household economics Diksha Arora & Codrina Rada CIAT & University of Utah
  2. 2. Outline Motivation
  3. 3. Outline Motivation Research objective
  4. 4. Outline Motivation Research objective Theoretical framework
  5. 5. Outline Motivation Research objective Theoretical framework Results
  6. 6. Outline 1 Motivation 2 Research objective 3 Theoretical framework 4 Results
  7. 7. Motivation Traditionally, agricultural development organizations have been concerned with increasing yields and land productivity Policy action overlooks the channels through which higher yields are obtained These programs fail to notice it’s impact on labor supply and labor productivity Leading to undesirable consequences, lack of supply response and poor adoption response
  8. 8. Outline 1 Motivation 2 Research objective 3 Theoretical framework 4 Results
  9. 9. Research objective We develop a tool to trace the channels of impact of a favorable technology or an adverse shock Ex-ante analysis - Useful to determine the potential impact ahead of program implention Ex post analysis - Analyzes the mechanisms that may cause unexpected results, e.g. lack of supply response or poor adoption rates Intra-household analysis is integrated in the framework Investigation of how gendered institutions influence policy outcomes Gender differential impact of shocks and policy actions
  10. 10. Outline 1 Motivation 2 Research objective 3 Theoretical framework 4 Results
  11. 11. Methodology Household accounting matrix (HAM) Standard CGE approach - Prices, production, institutions and system constraints 56 equations, 56 endogenous variables, 24 exogenous variables and 16 parameters The economic problem of the man, the woman and the household They maximize their own well-being given existing time and income constraints Labor allocation decisions between agricultural activities and leisure are determined by preferences, technology and social norms
  12. 12. Social norms in household economy Explicit modelling of social norms - The parameter for norms shows the role of institutions in influencing labor allocation decisions Endogenizing labor productivity - Work effort is a function of leisure time
  13. 13. Outline 1 Motivation 2 Research objective 3 Theoretical framework 4 Results
  14. 14. Three scenarios of adverse shocks in the household economy Household care-crisis
  15. 15. Three scenarios of adverse shocks in the household economy Household care-crisis Technolgy development in the household sector
  16. 16. Three scenarios of adverse shocks in the household economy Household care-crisis Technolgy development in the household sector Redistribution of household/unpaid care work
  17. 17. Household care-crisis Table: Simulation results Baseline Value Scenario I Scenario II Scenario III Farm production 29.62 -2.42% 0.94% -2.67% Subsistence production 28.57 3.00% 2.80% 1.07% Household consumption (farm) 52.1 -2.72% 1.05% -0.18% Man’s farm labor (hrs/day) 2.58 2.66 2.54 1.22 Woman’s farm labor (hrs/day) 3.02 2.83 3.09 4 Woman’s labor productivity 5.17 -1.07% 0.41% 5.47% Woman’s HH labor (hrs/day) 7.61 7.88 7.50 6.19
  18. 18. Conclusions Social norms are important determinants of intra-household labor and resource allocation and therefore should be an integral part of formal models of household economies The strength of social norms matter. More stringent social norms reduce the ability of households to address external shocks or benefit from development programs Non-separation of production and consumption decisions in the context of aforementioned social norms allow shocks in one sector to propagate across activities Policy interventions can benefit from a thorough understanding of how social norms impact the household

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