Econometrica: Jul 1976, Volume 44, Issue 4

An Indirect Test of Complementarity in a Family Labor Supply Model

https://doi.org/0012-9682(197607)44:4<651:AITOCI>2.0.CO;2-N
p. 651-669

Thomas J. Kniesner

Economists as yet have relatively little evidence concerning the sign of the net cross-price effect in a family model of labor supply. Part of the problem is attributable to a lack of quality data for nonlabor income. In this paper I derive a simple indirect test which does not require accurate estimates of income effects and apply it to data from the National Longitudinal Survey.

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