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Household Finances, Income Shocks, And Family Separation In Britain

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  • Sarah Bridges
  • Richard Disney

Abstract

type="main" xml:id="ecin12259-abs-0001"> We examine the effect of household financial indebtedness on the incidence of partnership dissolution using a large survey of families with children in Britain. We use detailed data on household finances to provide a robust statistical analysis of the relationship between indebtedness and partnership dissolution and to avoid the potential simultaneity of financial and psychological health responses that arise when using self-reported data on the extent of household “financial problems.” We examine whether the data provide any support for the “economic” models of divorce and separation developed by Gary Becker and his colleagues. (JEL J12, D12)

Suggested Citation

  • Sarah Bridges & Richard Disney, 2016. "Household Finances, Income Shocks, And Family Separation In Britain," Economic Inquiry, Western Economic Association International, vol. 54(1), pages 698-718, January.
  • Handle: RePEc:bla:ecinqu:v:54:y:2016:i:1:p:698-718
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    Cited by:

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    3. Chiara Mussida & Dario Sciulli, 2026. "Correction to: A Dynamic Analysis of Arrears and Income Poverty in Italy," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 12(1), pages 703-704, March.

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    More about this item

    JEL classification:

    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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