Economists have long been interested in the extent to which economic resources affect decisions to marry and divorce. However, this issue has been difficult to address empirically due to a lack of exogenous income shocks. We overcome this problem by exploiting the randomness of the Florida Lottery and comparing recipients of large prizes to those…

We use state repeals of blood test requirements (BTRs) for a marriage license that occurred between 1980 and 2008 to examine the impact of changes in the price of marriage on the marriage decision. Using a within-group estimator that holds constant state and year effects and exploits variation in the repeal dates of BTRs across states, we find…

This paper investigates the effect of relative income on marriage. Accounting flexibly for absolute income, the ratio between a man's income and a local reference group median is a strong predictor of marital status, but only for low-income men. Relative income affects marriage even among those living with a partner. A 10 percent higher reference…

We use data from the earlier and later cohorts of the NLSY to estimate the effect of marriage and childbearing on wages. Our estimates imply that marriage lowers female wages 2-4 percent in the year of marriage. Marriage also lowers the wage growth of men and women by about two and four percentage points, respectively. A first birth lowers female…

Individuals match on length and type of education. We find that around half of the systematic sorting on education is explained by the tendency of individuals to marry someone who went to the same educational institution or to an institution near them. This may be due to low search frictions or selection of people with the same preferences into…

This paper explores the causal link between income and fertility by analyzing women's fertility response to the large and permanent income shock generated by a husband's job displacement. I find that the shock reduces total fertility, suggesting that the causal effect of income on fertility is positive. A model that incorporates the time cost of…

This paper uses an exogenous change in the intrahousehold distribution of income, provided by a change in United Kingdom Family Allowance policy to test the income-pooling hypothesis implied by unitary household models. Expenditure shares are estimated for a wide range of goods using household-level data. Shifts in expenditure shares suggest that…

Never-married motherhood is associated with worse educational outcomes for children. But this association may reflect other factors that also determine family structure, rather than causal effects. We use incarceration rates for men as instrumental variables in estimating the effect of never-married motherhood on the high school dropout rate of…

This paper investigates the effect of gender differences and household bargaining on charitable giving. I replicate the study of Andreoni, Brown, and Rischall (2003) using a different data set--the recently available Panel Study of Income Dynamics (PSID) supplement on charitable giving--and test the sensitivity of their results to inclusion of…

This paper analyzes the relationship between a woman's intrahousehold bargaining position and her welfare within marriage using household data from rural China. Simultaneity problems are overcome by using dowry to proxy for bargaining position. Omitted variable bias is addressed by using grain shocks in the year preceding marriage as an instrument…

In this paper, I analyze the association between workplace sex ratios and partnership formation and dissolution. I find that the risk of dissolution increases with the fraction of coworkers of the opposite sex at both the female and male workplace. On the other hand, workplace sex ratios are not important for the overall transition rate from…

This paper demonstrates the extent to which married women's labor supply elasticities have changed over the past quarter century. Estimates from March Current Population Survey data suggest that these elasticities have decreased substantially, by 60 percent for the hours wage elasticity (from 0.36 to 0.14), 70 percent for the hours income…

A widow(er) is only entitled to get the economic incentives benefits only after she/he attains the age of 60. The rate of remarriages before 60 for widow(er) is gradually going down resulting in marriages after the age of 60 to gain the economic benefits.

In this paper we provide an empirical investigation of the association between premarital cohabitation and subsequent risk of divorce. Theoretically couples who cohabit before marriage should have a lower subsequent risk of divorce since cohabitation enables you to gather information about the match quality, and only good matches evolve into…

Many studies document a clear relationship between the supply of marriageable men and marriage rates, but not many studies find that the supply of marriageable men affects the number of women who choose to be single mothers. A model is presented to address the issue.