Household production function
- Household production function
Consumers often choose not directly from the commodities that they purchase but from commodities they transform into goods through a household production function. It is these goods that they value. The idea was originally proposed by Gary Becker and Kelvin Lancaster in the mid 1960s.
Example
A simple example of this is baking a cake. The consumer purchases flour, eggs, and sugar and then uses some labor and time in consuming to produce a cake. The consumer did not really want the flour or sugar but purchased them to produce the cake consumed.
Formal models
ee also
* Family economics
References
*cite book | author=Gary S. Becker and Gilbert Ghez| title=The Allocation of Time and Goods Over the Life Cycle| year=1975| publisher = New York, Columbia University Press| id = ISBN 0-87014-514-2
*cite book | author=Gary S. Becker | title=A Treatise on the Family| year=1981, Enlarged ed., 1991| publisher = Cambridge, MA, Harvard University Press| id = ISBN 0-674-90698-5 ( [http://www.hup.harvard.edu/catalog/BECTRR.html HUP descr.] )
* Gary S. Becker (1987). "family," "The ", v. 2, pp. 281-86.
*Richard A. Berk (1987). "household production," "The ", New York, Stockton, v. 2, pp. 673-75
*Theodore W. Schultz, ed. (1974). "Economics of the Family: Marriage, Children, and Human Capital", Chicago, University of Chicago Press
Wikimedia Foundation.
2010.
Look at other dictionaries:
Cobb–Douglas production function — A two input Cobb–Douglas production function In economics, the Cobb–Douglas f form of production functions is widely used to represent the relationship of an output to inputs. Similar functions were originally used by Knut Wicksell (1851–1926),… … Wikipedia
Production-possibility frontier — In economics, a production possibility frontier (PPF) or “transformation curve” is a graph that shows the different rates of production of two goods that an economy (or agent) could efficiently produce with limited productive resources. Points… … Wikipedia
theatrical production — Introduction the planning, rehearsal, and presentation of a work. Such a work is presented to an audience at a particular time and place by live performers, who use either themselves or inanimate figures, such as puppets, as the medium of… … Universalium
Family economics — The family, although recognized as fundamental from Adam Smith on, received little systematic treatment in economics before the 1950s. A significant exception was Thomas Malthus s model of population growth. The work of Gary Becker and others… … Wikipedia
Anthropological theories of value — attempt to expand on the traditional theories of value used by economists or ethicists. They are often broader in scope than the theories of value of Adam Smith, David Ricardo, John Stuart Mill, Karl Marx, etc. usually including sociological,… … Wikipedia
Gary Becker — Infobox Scientist name = Gary Becker image size = 180px caption = National Science Medal award ceremony, 2000 birth date = Birth date and age|1930|12|2|mf=y birth place = Pottsville, Pennsylvania, U.S. nationality = United States field =… … Wikipedia
Kelvin Lancaster — Infobox Scientist name = Kelvin Lancaster image size = 60px caption = Kelvin John Lancaster birth date = birth date|1924|12|10 birth place = Sydney, Australia death date = July 23 1999, age Age at date|1924|12|10|1999|07|23 death place = New York … Wikipedia
Rebound (Ökonomie) — Mit Rebound (englisch für Abprall) wird in der Energieökonomie der Umstand bezeichnet, dass das Einsparpotenzial von Effizienzsteigerungen nicht oder nur teilweise verwirklicht wird. Führt die Effizienzsteigerung gar zu erhöhtem Verbrauch (das… … Deutsch Wikipedia
economics — /ek euh nom iks, ee keuh /, n. 1. (used with a sing. v.) the science that deals with the production, distribution, and consumption of goods and services, or the material welfare of humankind. 2. (used with a pl. v.) financial considerations;… … Universalium
Real estate economics — is the application of economic techniques to real estate markets. It tries to describe, explain, and predict patterns of prices, supply, and demand. The closely related fields of housing economics is narrower in scope, concentrating on… … Wikipedia
