Are Time and Money Equally Substitutable for All Commodity Groups in the Household's Domestic Production?

Carla Canelas (1, 2) , François Gardes (1, 2) , Philip Merrigan (3) , Silvia Salazar (1, 2)

1 CES - Centre d'économie de la Sorbonne
2 PSE - Paris School of Economics
3 CIRPEE - Centre interuniversitaire sur le risque, les politiques économiques et l'emploi [Montréal]

This article uses household data to measure the substitutability between time and money for eight commodity groups and different countries. The elasticities estimated using the household's market wage and an estimated opportunity cost of time are positive, indicating substitutability, and much larger for all goods compared to food. The estimates with the wage rate are, in general, smaller than those obtained using the opportunity cost of time.

Mots clés: time use; statistical matching; Elasticity of substitution

Domaines: Sciences de l'Homme et Société; Economies et finances

Carla Canelas, François Gardes, Philip Merrigan, Silvia Salazar. Are Time and Money Equally Substitutable for All Commodity Groups in the Household's Domestic Production?. 2014. ⟨hal-01112620⟩