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Why do young women marry old men?

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  • Pavlo Blavatskyy

    (Montpellier Research in Management)

Abstract

This paper presents an overlapping generations household model with positive assortative matching (richer individuals marry richer partners), incomplete information about partner’s type (it takes time to reveal income-earning capabilities of individuals) and a gender pay gap on the labor market (men are more likely to end up with a high-paying job). In equilibrium, a gender pay gap creates an excess supply of desirable husbands and women marry early to increase their chance of being matched with an ideal partner, which results in a gender age gap on the marriage market. A modified model with asymmetric information yields a similar result. An extended model where individuals have an option to remain single (the marriage market does not necessarily clear in equilibrium) yields a similar result as well.

Suggested Citation

  • Pavlo Blavatskyy, 2018. "Why do young women marry old men?," Theory and Decision, Springer, vol. 85(3), pages 509-525, October.
    • Handle: RePEc:kap:theord:v:85:y:2018:i:3:d:10.1007_s11238-018-9662-z
    DOI: 10.1007/s11238-018-9662-z
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