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Testing For Utility Interdependence In Marriage : Evidence From Panel Data

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  • Powdthavee, Nattavudh

    (University of Warwick)

Abstract

This paper is the first of its kind to study utility interdependence in marriage using information on subjective well-being of a large sample of people living in the UK over the period 1991-2001. Using “residual” self-rated health to provide instrument for spouse’s well-being and allowing controls on individual fixed effects, we find strong evidence of altruism represented by interdependent relationships in the reported well-being found only among spouses, and not by partners in cohabiting union. Panel data also show that the well-being impact resulting from “caring” can be used to predict future income, unemployment, and marital status for the individuals.

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File URL: http://www2.warwick.ac.uk/fac/soc/economics/research/workingpapers/2008/twerp705.pdf
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Bibliographic Info

Paper provided by University of Warwick, Department of Economics in its series The Warwick Economics Research Paper Series (TWERPS) with number 705.

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Length: 44 pages
Date of creation: 2004
Date of revision:
Handle: RePEc:wrk:warwec:705

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Keywords: happiness ; altruism ; marriage ; interdependent utility;

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  1. Ada Ferrer-i-Carbonell & Paul Frijters, 2004. "How Important is Methodology for the estimates of the determinants of Happiness?," Economic Journal, Royal Economic Society, vol. 114(497), pages 641-659, 07.
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  4. Wilson, Chris M & Oswald, Andrew J, 2005. "How Does Marriage Affect Physical and Psychological Health? A Survey of the Longitudinal Evidence," The Warwick Economics Research Paper Series (TWERPS) 728, University of Warwick, Department of Economics.
  5. Oswald, A.J., 1997. "Happiness and Economic Performance," Papers 18, Centre for Economic Performance & Institute of Economics.
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  9. Becker, Gary S, 1973. "A Theory of Marriage: Part I," Journal of Political Economy, University of Chicago Press, vol. 81(4), pages 813-46, July-Aug..
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  15. Winkelmann, Liliana & Winkelmann, Rainer, 1998. "Why Are the Unemployed So Unhappy? Evidence from Panel Data," Economica, London School of Economics and Political Science, vol. 65(257), pages 1-15, February.
  16. David Neumark & Sanders D. Korenman, 1988. "Does marriage really make men more productive?," Finance and Economics Discussion Series 29, Board of Governors of the Federal Reserve System (U.S.).
  17. Graham, Carol & Eggers, Andrew & Sukhtankar, Sandip, 2004. "Does happiness pay?: An exploration based on panel data from Russia," Journal of Economic Behavior & Organization, Elsevier, vol. 55(3), pages 319-342, November.
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Cited by:
  1. Cahit Guven & Claudia Senik & Holger Stichnoth, 2010. "You Can't Be Happier Than Your Wife: Happiness Gaps and Divorce," SOEPpapers on Multidisciplinary Panel Data Research 261, DIW Berlin, The German Socio-Economic Panel (SOEP).
  2. Inmaculada García & José Molina & María Navarro, 2007. "How Satisfied are Spouses with their Leisure Time? Evidence from Europe," Journal of Family and Economic Issues, Springer, vol. 28(4), pages 546-565, December.
  3. Angeles, Luis, 2010. "Adaptation or Social Comparison? The effects of income on happiness," SIRE Discussion Papers 2010-03, Scottish Institute for Research in Economics (SIRE).
  4. repec:hal:wpaper:halshs-00555427 is not listed on IDEAS

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