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Marriage Settlements

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  • Laferrere, Anne

Abstract

French couples may choose between two types of marriage settlements governing asset ownership after a divorce or inheritance: common property or separate property. A cooperative model considers the marriage contract as a means of providing for widowhood of the less endowed spouse. A second model addresses the probability of divorce and the production of a marriage good. The common property contract then becomes a means of inducing the wife to invest in the marriage good. Choice of contract, labor supply and fertility are simultaneous. Empirically we find that characteristics of the spouses such as relative age or differences in endowments influence the choice. So do the expected number of children and the wife's labor supply decision. This last decision is also shown to be influenced by the chosen settlement, while fertility is not. Copyright 2001 by The editors of the Scandinavian Journal of Economics.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Scandinavian Journal of Economics.

Volume (Year): 103 (2001)
Issue (Month): 3 (September)
Pages: 485-504

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Handle: RePEc:bla:scandj:v:103:y:2001:i:3:p:485-504

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Cited by:
  1. John G. McPeak & Cheryl R. Doss, 2006. "Are Household Production Decisions Cooperative? Evidence on Pastoral Migration and Milk Sales from Northern Kenya," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(3), pages 525-541.
  2. Ekert-Jaffe, Olivia & Grossbard, Shoshana, 2008. "Does community property discourage unpartnered births?," European Journal of Political Economy, Elsevier, vol. 24(1), pages 25-40, March.
  3. Bishai, David & Grossbard, Shoshana, 2007. "Far Above Rubies: The Association Between Bride Price and Extramarital Sexual Relations in Uganda," IZA Discussion Papers 2982, Institute for the Study of Labor (IZA).
  4. Grossbard-Shechtman, Shoshana, 2003. "A consumer theory with competitive markets for work in marriage," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 31(6), pages 609-645.

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