Sharing within Families: Implications for the Measurement of Poverty among Individuals in Canada.

One major objection to neoclassical economic theory raised by feminist economists is that traditional theory neglects what goes on within families. This paper examines the policy relevance of this feminist critique by asking whether our understanding of the poverty experiences of individual Canadians is significantly affected by the assumptions we make about how financial resources are shared within families. Using microdata from the 1982, 1986, and 1992 Family Expenditure Surveys, the authors simulate the consequences of alternative sharing rules--from 'equal sharing' to 'minimal sharing.' Their conclusion is that it matters a great deal what we assume about how financial resources are shared within families.