The second assumption (that the household functions as a socio-economic unit in
which women and men have equal control over resources and equal decision-making
power) is based on the premises of the New Household Economics2. According to
this model, households are unified units of production and consumption which seek
to maximize the welfare of all its members. The household members have equal
control over resources, and they participate jointly in the decision-making process on
the basis of their free choices and preferences. The problem of conflicting
preferences is eliminated through the concept of 'altruism' which suggests that
household members are prepared to subordinate their individual tastes and
preferences to common goal of maximizing the total family welfare (Moser, 1993: 18-