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The Economics of Marriage

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  • Alessandro Cigno

Abstract

In a separate-property jurisdiction, marriage may induce domestic cooperation, and enhance efficiency in the production of children, because it may lend credibility to the prospective main earner's promise to compensate the main childcarer when the children will no longer be economically dependent on them. In a community-property jurisdiction, marriage will induce domestic cooperation, and enhance efficiency in the production of children, because it rules out strategic behaviour. Whatever the matrimonial property regime, reducing the cost or difficulty of obtaining a divorce will have no permanent effect on the divorce rate. In a separate-property jurisdiction, it will encourage marriage, and induce more married women to specialize in market work. Couples should be allowed to choose the matrimonial property regime.

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Article provided by Verein für Socialpolitik in its journal Perspektiven der Wirtschaftspolitik.

Volume (Year): 12 (2011)
Issue (Month): s1 (05)
Pages: 28-41

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Handle: RePEc:bla:perwir:v:12:y:2011:i:s1:p:28-41

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