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Transitions from home to marriage of young Americans

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  • Arnstein Aassve

    (Max Planck Institute for Demographic Research, Rostock, Germany)

  • Simon Burgess
  • Andrew Chesher
  • Carol Propper

Abstract

The paper examines the impact of income on the transitions between home, living independently and first marriage of young Americans. A matching model is outlined, similar to that used in theories of job search, to explain the probability of marriage and living alone. A multiple state, multiple transition model which allows for correlated heterogeneity on the first and subsequent transitions is estimated. The result show that income has a strong and significant effect. The impact of unobserved heterogeneuty is examined in detail. The impact of the young person´s earning on the transitions is explored through simulation. (AUTHORS)

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File URL: http://www.demogr.mpg.de/Papers/Working/wp-2001-004.pdf
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Bibliographic Info

Paper provided by Max Planck Institute for Demographic Research, Rostock, Germany in its series MPIDR Working Papers with number WP-2001-004.

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Date of creation: Jan 2001
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Handle: RePEc:dem:wpaper:wp-2001-004

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Web page: http://www.demogr.mpg.de/

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  1. Haurin, Donald R & Hendershott, Patric H & Kim, Dongwook, 1993. "The Impact of Real Rents and Wages on Household Formation," The Review of Economics and Statistics, MIT Press, vol. 75(2), pages 284-93, May.
  2. Moffitt, Robert, 1990. "The effect of the U.S. welfare system on marital status," Journal of Public Economics, Elsevier, vol. 41(1), pages 101-124, February.
  3. Akerlof, George A & Yellen, Janet L & Katz, Michael L, 1996. "An Analysis of Out-of-Wedlock Childbearing in the United States," The Quarterly Journal of Economics, MIT Press, vol. 111(2), pages 277-317, May.
  4. Newman, John L & McCulloch, Charles E, 1984. "A Hazard Rate Approach to the Timing of Births," Econometrica, Econometric Society, vol. 52(4), pages 939-61, July.
  5. Burdett, Kenneth & Vishwanath, Tara, 1988. "Declining Reservation Wages and Learning," Review of Economic Studies, Wiley Blackwell, vol. 55(4), pages 655-65, October.
  6. Nancy Cole & Janet Currie, 1994. "Reported Income in the NLSY: Consistency Checks and Methods for Cleaningthe Data," NBER Technical Working Papers 0160, National Bureau of Economic Research, Inc.
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