Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/296997 
Authors: 
Year of Publication: 
2023
Series/Report no.: 
Working Papers No. 2023-12
Publisher: 
Banco de México, Ciudad de México
Abstract: 
This paper investigates the effect of crises on the intra-household allocation of resources. To study this issue, I use survey data from Mexico and estimate a structural model of household behavior to recover how much resources are allocated to each household member. Then, I construct a proxy for women's bargaining power using the women's control of resources and document how it evolves over periods of economic stability and contraction. The results suggest that during the COVID-19 crisis period, women's control of resources decreased relative to the non-recession period (4-5 percentage points) and the financial crisis (6-8 percentage points). This effect was more pronounced for households with children than those without children. Finally, I look into how this resource reallocation affects household consumption and individual poverty. The results of this paper highlight the heterogeneous behavior of intra-household inequality and women's bargaining power over the business cycle. It also suggests that the hypothesis that the financial crisis was a "man-cession" and the COVID-19 crisis was a "she-cession" holds in terms of intra-household resource allocation.
Subjects: 
Crisis
Resource shares
Control of resources
COVID-19
JEL: 
D10
I14
I30
J10
H12
Document Type: 
Working Paper
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