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Marital disruption and economic well-being: a comparative analysis

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  • Aassve, Arnstein
  • Betti, Gianni
  • Mazzuco, Stefano
  • Mencarini, Letizia

Abstract

Though there is a considerable literature concerned with the economic consequences of marital breakdown, there is still substantial disagreement in terms of its magnitude. One of the major problems underlying this debate is how economic well-being is defined. In this work we implement several measures of well-being of monetary and multidimensional nature using data from European Community Household Panel. Another issue in this literature concerns selection bias of divorcing couples. We tackle this issue using a propensity score matching technique combined with a Difference-in-Differences estimator. Results confirm the importance of well-being definition. We find a high gender bias when using monetary measures but a considerably lower one or even non existent when using non-monetary indices.

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Bibliographic Info

Paper provided by Institute for Social and Economic Research in its series ISER Working Paper Series with number 2006-07.

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Date of creation: 01 Mar 2006
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Publication status: published
Handle: RePEc:ese:iserwp:2006-07

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Postal: Publications Office, Institute for Social and Economic Research, University of Essex, Wivenhoe Park, Colchester, Essex CO4 3SQ UK
Phone: 44-1206-872957
Fax: 44-1206-873151
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Web page: https://www.iser.essex.ac.uk/
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Postal: Publications Office, Institute for Social and Economic Research, University of Essex, Wivenhoe Park, Colchester, Essex CO4 3SQ UK
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Web: https://www.iser.essex.ac.uk/publications/

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  1. Atkinson, Anthony B & Bourguignon, Francois, 1982. "The Comparison of Multi-Dimensioned Distributions of Economic Status," Review of Economic Studies, Wiley Blackwell, vol. 49(2), pages 183-201, April.
  2. A. Atkinson, 2003. "Multidimensional Deprivation: Contrasting Social Welfare and Counting Approaches," Journal of Economic Inequality, Springer, vol. 1(1), pages 51-65, April.
  3. Jean-Yves Duclos & David E. Sahn & Stephen D. Younger, 2006. "Robust Multidimensional Poverty Comparisons," Economic Journal, Royal Economic Society, vol. 116(514), pages 943-968, October.
  4. Schmidt, Christoph M. & Augurzky, Boris, 2001. "The Propensity Score: A Means to An End," IZA Discussion Papers 271, Institute for the Study of Labor (IZA).
  5. Greg J. Duncan & Saul D. Hoffman, 1985. "Economic Consequences of Marital Instability," NBER Chapters, in: Horizontal Equity, Uncertainty, and Economic Well-Being, pages 427-470 National Bureau of Economic Research, Inc.
  6. Richard Burkhauser & Greg Duncan & Richard Hauser & Roland Berntsen, 1991. "Wife or frau, women do worse: A comparison of men and women in the United States and Germany after marital dissolution," Demography, Springer, vol. 28(3), pages 353-360, August.
  7. Maasoumi, Esfandiar, 1986. "The Measurement and Decomposition of Multi-dimensional Inequality," Econometrica, Econometric Society, vol. 54(4), pages 991-97, July.
  8. Browning, Martin & Francois Bourguignon & Pierre-Andre Chiappori & Valerie Lechene, 1994. "Income and Outcomes: A Structural Model of Intrahousehold Allocation," Journal of Political Economy, University of Chicago Press, vol. 102(6), pages 1067-96, December.
  9. de Vos, Klaas & Zaidi, M Asghar, 1997. "Equivalence Scale Sensitivity of Poverty Statistics for the Member States of the European Community," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 43(3), pages 319-33, September.
  10. Maasoumi, Esfandiar & Nickelsburg, Gerald, 1988. "Multivariate Measures of Well-Being and an Analysis of Inequality in the Michigan Data," Journal of Business & Economic Statistics, American Statistical Association, vol. 6(3), pages 326-34, July.
  11. Rajeev H. Dehejia & Sadek Wahba, 2002. "Propensity Score-Matching Methods For Nonexperimental Causal Studies," The Review of Economics and Statistics, MIT Press, vol. 84(1), pages 151-161, February.
  12. Jeffrey Smith & Petra Todd, 2003. "Does Matching Overcome Lalonde's Critique of Nonexperimental Estimators?," University of Western Ontario, CIBC Centre for Human Capital and Productivity Working Papers 20035, University of Western Ontario, CIBC Centre for Human Capital and Productivity.
  13. Nolan, Brian & Whelan, Christopher T., 1996. "Resources, Deprivation, and Poverty," OUP Catalogue, Oxford University Press, number 9780198287858.
  14. Rajeev H. Dehejia & Sadek Wahba, 1998. "Causal Effects in Non-Experimental Studies: Re-Evaluating the Evaluation of Training Programs," NBER Working Papers 6586, National Bureau of Economic Research, Inc.
  15. Sarah Jarvis & Stephen P. Jenkins, 1997. "Marital Splits and Income Changes: Evidence for Britain," Innocenti Occasional Papers, Economic Policy Series iopeps97/26, UNICEF Innocenti Research Centre.
  16. Edwin Leuven & Barbara Sianesi, 2003. "PSMATCH2: Stata module to perform full Mahalanobis and propensity score matching, common support graphing, and covariate imbalance testing," Statistical Software Components S432001, Boston College Department of Economics, revised 12 Feb 2014.
  17. Richard Blundell & Lorraine Dearden & Barbara Sianesi, 2003. "Evaluating the impact of education on earnings in the UK: Models, methods and results from the NCDS," IFS Working Papers W03/20, Institute for Fiscal Studies.
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Citations

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Cited by:
  1. Bruno Arpino & Arnstein Aassve, 2008. "Estimating the causal effect of fertility on economic wellbeing: Data requirements, identifying assumptions and estimation methods," Working Papers 013, "Carlo F. Dondena" Centre for Research on Social Dynamics (DONDENA), Università Commerciale Luigi Bocconi.
  2. Bruno Arpino & Fabrizia Mealli, 2008. "The specification of the propensity score in multilevel observational studies," Working Papers 006, "Carlo F. Dondena" Centre for Research on Social Dynamics (DONDENA), Università Commerciale Luigi Bocconi.
  3. James Raymo & Yanfei Zhou, 2012. "Living Arrangements and the Well-Being of Single Mothers in Japan," Population Research and Policy Review, Springer, vol. 31(5), pages 727-749, October.
  4. Feijten Peteke & Maarten van Ham, 2007. "Residential mobility and migration of the separated," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 17(21), pages 623-654, December.
  5. Pronzato, Chiara & Aassve,Arnstein, 2013. "Marital Breakup and Children's Behavioural Responses," Department of Economics and Statistics Cognetti de Martiis. Working Papers 201339, University of Turin.
  6. Gianni Betti & Antonella D’Agostino & Laura Neri, 2011. "Educational Mismatch of Graduates: a Multidimensional and Fuzzy Indicator," Social Indicators Research, Springer, vol. 103(3), pages 465-480, September.
  7. Nolan, Anne, 2006. "Evaluating the Impact of Eligibility for Free Care on the Use of GP Services in Ireland: A Difference-in-Difference Matching Approach," Papers HRBWP25, Economic and Social Research Institute (ESRI).
  8. Magne Mogstad & Chiara Pronzato, 2008. "Are Lone Mothers Responsive to Policy Changes? The Effects of a Norwegian Workfare Reform on Earnings, Education, and Poverty," Discussion Papers 533, Research Department of Statistics Norway.
  9. repec:ese:iserwp:2009-28 is not listed on IDEAS
  10. Hayley Fisher & Hamish Low, 2012. "Financial implications of relationship breakdown: does marriage matter?," IFS Working Papers W12/17, Institute for Fiscal Studies.

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