Married, cohabiting, and divorced men in Sweden earn more than single men. The wage premium earned by married men has declined since 1968, mainly due to decreasing productivity differences between married and single men. During this period, reforms have been undertaken to induce spouses to share labor market and housework more equally. If this wage differential reflects specialization within households, we would expect it to decline. Using longitudinal data, the results indicate that the wage premiums mainly reflect gains from partnership. Selection based on unobserved productivity into partnership can only partly explain the wage differentials by marital status. However, I do not find that the marriage premium increases with time married as also implied by the specialization hypothesis.
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Paper provided by IFAU - Institute for Labour Market Policy Evaluation in its series Working Paper Series with number
2000:5.
Length: 23 pages Date of creation: 13 Jun 2000 Date of revision: Handle: RePEc:hhs:ifauwp:2000_005
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Find related papers by JEL classification: J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
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