Endogamy and income in native couples: the case of Finland

Purpose - The purpose of this paper is to study two native and equal population groups, Finnish speakers and Swedish speakers in Finland, to examine whether there is income variation across couples that differ on ethno-linguistic composition, and if such variation can be attributed to differences in education, educational homogamy and other observable characteristics. Design/methodology/approach - Using detailed register-based household data, the authors estimate OLS models to compare endogamous and exogamous couples with respect to income of the man, the woman, and both partners, respectively. Findings - Endogamous Swedish-speaking couples are found to have on average 25 per cent higher income than other couples. The advantage is not related to differences in educational homogamy, but primarily to man’s income, and roughly half of the income difference is explained by the higher educational level of Swedish-speaking men in endogamous couples. Although women in endogamous Swedish-speaking couples are higher educated than other women, and there is a higher degree of educational homogamy in these couples, their education has only a modest bearing on the income differential. Originality/value - In the case of Finland, educational homogamy does not affect income variation across native couples that differ on ethno-linguistic composition. Endogamous mate selection seems to increase economic inequality, uphold gender inequality, and help the native minority group in sustaining its own community.