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The Marriage Wealth Premium Revisited: Gender Disparities and Within-Individual Changes in Personal Wealth in Germany

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  • Philipp M. Lersch

    (University of Cologne)

Abstract

This study examines the association between marriage and economic wealth of women and men. Going beyond previous research that focused on household wealth, I examine personal wealth, which allows identifying gender disparities in the association between marriage and wealth. Using unique data from the German Socio-Economic Panel Study (2002, 2007, and 2012), I apply random-effects and fixed-effects regression models to test my expectations. I find that both women and men experience substantial marriage wealth premiums not only in household wealth but also in personal wealth. However, I do not find consistent evidence for gender disparities in these general marriage premiums. Additional analyses indicate, however, that women’s marriage premiums are substantially lower than men’s premiums in older cohorts and when only nonhousing wealth is considered. Overall, this study provides new evidence that women and men gain unequally in their wealth attainment through marriage.

Suggested Citation

  • Philipp M. Lersch, 2017. "The Marriage Wealth Premium Revisited: Gender Disparities and Within-Individual Changes in Personal Wealth in Germany," Demography, Springer;Population Association of America (PAA), vol. 54(3), pages 961-983, June.
    • Handle: RePEc:spr:demogr:v:54:y:2017:i:3:d:10.1007_s13524-017-0572-4
    DOI: 10.1007/s13524-017-0572-4
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    Cited by:

    1. Nicole Kapelle, 2021. "Why Time Cannot Heal All Wounds: Personal Wealth Trajectories of Divorced and Married Men and Women," SOEPpapers on Multidisciplinary Panel Data Research 1134, DIW Berlin, The German Socio-Economic Panel (SOEP).
    2. Jaanika Meriküll & Merike Kukk & Tairi Rõõm, 2021. "What explains the gender gap in wealth? Evidence from administrative data," Review of Economics of the Household, Springer, vol. 19(2), pages 501-547, June.
    3. Sierminska, Eva & Piazzalunga, Daniela & Grabka, Markus M., 2018. "Transitioning towards more equality? Wealth gender differences and the changing role of explanatory factors over time," GLO Discussion Paper Series 252, Global Labor Organization (GLO).
    4. Nicolas Frémeaux & Marion Leturcq, 2022. "Wealth Accumulation and the Gender Wealth Gap Across Couples’ Legal Statuses and Matrimonial Property Regimes in France," European Journal of Population, Springer;European Association for Population Studies, vol. 38(4), pages 643-679, October.
    5. Carole Bonnet & Enrica Maria Martino & Benoît Rapoport & Anne Solaz, 2023. "Wealth inequalities among seniors: the role of marital histories across cohorts," Review of Economics of the Household, Springer, vol. 21(3), pages 815-853, September.
    6. Visser, Mark & Fasang, Anette Eva, 2018. "Educational assortative mating and couples’ linked late-life employment trajectories," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 37, pages 79-90.
    7. Diederik Boertien & Fabrizio Bernardi, 2019. "Same-Sex Parents and Children’s School Progress: An Association That Disappeared Over Time," Demography, Springer;Population Association of America (PAA), vol. 56(2), pages 477-501, April.
    8. Rob Gruijters & Zachary van Winkle & Anette Fasang, 2023. "Life Course Trajectories and Wealth Accumulation in the United States: Comparing Late Baby Boomers and Early Millennials," Post-Print hal-04278042, HAL.
    9. Karla Cordova & Markus M. Grabka & Eva Sierminska, 2022. "Pension Wealth and the Gender Wealth Gap," European Journal of Population, Springer;European Association for Population Studies, vol. 38(4), pages 755-810, October.
    10. Maude Pugliese & David Pelletier & Céline Bourdais, 2023. "Separation and Savings in Tax-Favored Retirement Accounts Among Canadian Men and Women," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 42(4), pages 1-33, August.
    11. Brady, David, 2022. "Income And Wealth As Salient Gradational Aspects Of Stratification," SocArXiv pny3t, Center for Open Science.
    12. Frémeaux, Nicolas & Leturcq, Marion, 2020. "Inequalities and the individualization of wealth," Journal of Public Economics, Elsevier, vol. 184(C).
    13. Jaanika Meriküll & Merike Kukk & Tairi Rõõm, 2021. "What explains the gender gap in wealth? Evidence from administrative data," Review of Economics of the Household, Springer, vol. 19(2), pages 501-547, June.
    14. Solveig Glestad Christiansen & Øystein Kravdal, 2023. "Union Status and Disability Pension," European Journal of Population, Springer;European Association for Population Studies, vol. 39(1), pages 1-19, December.
    15. Nicole Kapelle & Sergi Vidal, 2020. "Diversity in Family Life Course Patterns and Intra-Cohort Wealth Disparities in Late Working Age," SOEPpapers on Multidisciplinary Panel Data Research 1092, DIW Berlin, The German Socio-Economic Panel (SOEP).
    16. Philipp M. Lersch & Emanuela Struffolino & Agnese Vitali, 2022. "Wealth in Couples: Introduction to the Special Issue," European Journal of Population, Springer;European Association for Population Studies, vol. 38(4), pages 623-641, October.
    17. Bruno Arpino & Alessandro Di Nallo, 2022. "Sleeping with the enemy. Partners’ political attitudes and risk of separation," Econometrics Working Papers Archive 2022_06, Universita' degli Studi di Firenze, Dipartimento di Statistica, Informatica, Applicazioni "G. Parenti".
    18. Michelle Maroto, 2019. "Sharing or Limiting the Wealth? Coresidence, Parental Support, and Wealth Outcomes in Canada," Journal of Family and Economic Issues, Springer, vol. 40(1), pages 102-116, March.
    19. David Brady, 2022. "Income and Wealth as Salient Gradational Aspects of Stratification," LIS Working papers 845, LIS Cross-National Data Center in Luxembourg.
    20. Agnese Vitali & Romina Fraboni, 2022. "Pooling of Wealth in Marriage: The Role of Premarital Cohabitation," European Journal of Population, Springer;European Association for Population Studies, vol. 38(4), pages 721-754, October.
    21. Diederik Boertien & Philipp M. Lersch, 2019. "Gendered Wealth Losses after Dissolution of Cohabitation but not Marriage in Germany," SOEPpapers on Multidisciplinary Panel Data Research 1054, DIW Berlin, The German Socio-Economic Panel (SOEP).
    22. Kapelle, Nicole & Frémeaux, Nicolas & Lersch, Philipp M. & Leturcq, Marion, 2024. "The Cohabitation Wealth Premium in Context: Comparing France and Eastern and Western Germany," SocArXiv uz74e, Center for Open Science.
    23. Miriam Rehm & Alyssa Schneebaum & Barbara Schuster, 2022. "Intra-Couple Wealth Inequality: What’s Socio-Demographics Got to Do with it?," European Journal of Population, Springer;European Association for Population Studies, vol. 38(4), pages 681-720, October.
    24. Nicole Kapelle & Sergi Vidal, 2022. "Heterogeneity in Family Life Course Patterns and Intra-Cohort Wealth Disparities in Late Working Age," European Journal of Population, Springer;European Association for Population Studies, vol. 38(1), pages 59-92, March.
    25. Rehm, Miriam & Schneebaum, Alyssa & Schuster, Barbara, 2022. "Intra-couple wealth inequality: What's demographics got to do with it?," ifso working paper series 22, University of Duisburg-Essen, Institute for Socioeconomics (ifso).

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