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The Cobb-Douglas Marriage Matching Function: Marriage Matching with Peer and Scale Effects

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  • Ismael Mourifié
  • Aloysius Siow

Abstract

Across states, there is little correlation between a state’s marriage rate or cohabitation rate and own population. Within states, there is a positive (no) correlation between a state’s marriage (cohabitation) rate and its population growth rate. The Cobb-Douglas marriage matching function (CDMMF), which extends the Choo-Siow MMF to include peer effects, can rationalize these correlations. The model is easy to estimate. The CDMMF is estimated using panel data across US states from 1990 to 2010. The estimated model replicates the above scale effects. These effects are not sufficient to explain the large recent declines in the gains to marriage.

Suggested Citation

  • Ismael Mourifié & Aloysius Siow, 2021. "The Cobb-Douglas Marriage Matching Function: Marriage Matching with Peer and Scale Effects," Journal of Labor Economics, University of Chicago Press, vol. 39(S1), pages 239-274.
    • Handle: RePEc:ucp:jlabec:doi:10.1086/711491
    DOI: 10.1086/711491
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    Cited by:

    1. Ugo Bolletta & Luca Paolo Merlino, 2022. "Marriage Through Friends," Dynamic Games and Applications, Springer, vol. 12(4), pages 1046-1066, December.
    2. Alfred Galichon & Bernard Salani'e, 2021. "Cupid's Invisible Hand: Social Surplus and Identification in Matching Models," Papers 2106.02371, arXiv.org, revised Jan 2023.
    3. Dan Anderberg & Jesper Bagger & V. Bhaskar & Tanya Wilson, 2022. "Marriage market equilibrium with matching on latent ability: Identification using a compulsory schooling expansion," Working Papers 2022_11, Business School - Economics, University of Glasgow.

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