"Living in sin" and marriage: a matching model
AbstractThis paper develops a two sided matching model of premarital cohabitation and marriage in which premarital cohabitation serves as a period of learning. We solve for the optimal policy to be followed by individuals by treating the model as a three stage dynamic programming problem. We find that couples are more discriminating when forming marital unions than when forming cohabiting unions. Cohabitation unions arise among members of the same "class" and there is overlap between the classes formed by marital unions and cohabiting unions. This implies that some cohabiting unions progress to marriage while others do not, a finding borne out by empirical studies. Keywords: cohabitation, marriage, matching, assortative mating. JEL classification: D83; D84; J12.
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Bibliographic InfoPaper provided by University of Groningen, Research Institute SOM (Systems, Organisations and Management) in its series Research Report with number 99D57.
Date of creation: 1999
Date of revision:
Find related papers by JEL classification:
- D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search, Learning, and Information
- D84 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Expectations; Speculations
- J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
This paper has been announced in the following NEP Reports:
- NEP-ALL-2000-02-28 (All new papers)
- NEP-DGE-2000-02-28 (Dynamic General Equilibrium)
- NEP-MIC-2000-02-28 (Microeconomics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Spiros Bougheas & Yannis Georgellis, 1999.
"The effect of divorce costs on marriage formation and dissolution,"
Journal of Population Economics, Springer,
Springer, vol. 12(3), pages 489-498.
- Spiros Bougheas & Yannis Georgellis, . "The Effect of Divorce Costs on Marriage Formation and Dissolution," Economics and Finance Discussion Papers, Economics and Finance Section, School of Social Sciences, Brunel University 97-05, Economics and Finance Section, School of Social Sciences, Brunel University.
- Zheng Wu & T. Balakrishnan, 1995. "Dissolution of premarital cohabitation in Canada," Demography, Springer, Springer, vol. 32(4), pages 521-532, November.
- T. Balakrishnan & K. Rao & Evelyne Lapierre-Adamcyk & Karol Krotki, 1987. "A Hazard Model Analysis Of The Covariates Of Marriage Dissolution In Canada," Demography, Springer, Springer, vol. 24(3), pages 395-406, August.
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