Female Earnings and Divorce Rates: Some Australian Evidence
AbstractThe purpose of this article is to examine whether female earnings have influenced divorce rates in Australia, using state-level data for the past four decades. Following a recent study by Ressler and Waters (2000), which concludes from comparable US data that female earnings and divorce rates may be jointly endogenous, initial testing is performed to identify whether female earnings can be treated as exogenous. A Hausman specification error test finds no evidence of a simultaneous relationship in the Australian data, in contrast to the findings of Ressler and Waters. The test result supports the hypothesis that other underlying factors affect female earnings, of which higher divorce rates are merely another symptom. A divorce rate equation is estimated. In accordance with much of the literature, the rise in female earnings over the past four decades is found to have increased Australian divorce rates. Copyright 2004 The University of Melbourne, Melbourne Institute of Applied Economic and Social Research.
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Bibliographic InfoArticle provided by The University of Melbourne, Melbourne Institute of Applied Economic and Social Research in its journal The Australian Economic Review.
Volume (Year): 37 (2004)
Issue (Month): 2 (06)
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Other versions of this item:
- Bruce Phillips & William Griffiths, 2002. "Female Earnings And Divorce Rates:Some Australian Evidence," Department of Economics - Working Papers Series 850, The University of Melbourne.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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