The economic consequences of mutual help in extended families

摘要: In the absence of well-developed markets for credit and insurance, extended families play a major role as traditional system mutual help. However these arrangements have important consequences on economic choices. this paper, we use first hand data from Western Cameroon to explore question. We find that large majority transfers follow given pattern whereby elder siblings support their younger in early stages lives who turn reciprocate by supporting when they children. interpret generalised reciprocal within family. propose simple overlapping generation model investigate its welfare properties. then implications labour market outcomes evidence disincentive effects. This also implies are more educated but fewer less