IDEAS home Printed from https://ideas.repec.org/p/cam/camdae/0653.html
   My bibliography  Save this paper

The Economics of Consanguinity

Author

Listed:
  • Do, Q-T
  • Iyer, S.
  • Joshi, S.

Abstract

The institution of consanguineous marriage - a marriage contracted between close biological relatives - has been a basic building block of many societies in different parts of the world. This paper argues that the practice of consanguinity is closely related to the practice of dowry, and that both arise in response to an agency problem between the families of a bride and a groom. When marriage contracts are incomplete, dowries transfer control rights to the party with the highest incentives to invest in a marriage. When these transactions are costly however, consanguinity can be a more appropriate response since it directly reduces the agency cost. Our model predicts that dowry transfers are less likely to be observed in consanguineous unions, and that close-kin marriages are more prevalent at both extremes of the wealth distribution. An empirical analysis using data from Bangladesh delivers results consistent with the predictions of the model, lending strong support to our theory.

Suggested Citation

  • Do, Q-T & Iyer, S. & Joshi, S., 2006. "The Economics of Consanguinity," Cambridge Working Papers in Economics 0653, Faculty of Economics, University of Cambridge.
  • Handle: RePEc:cam:camdae:0653
    Note: DE
    as

    Download full text from publisher

    File URL: http://www.econ.cam.ac.uk/research-files/repec/cam/pdf/cwpe0653.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Rao, Vijayendra, 1993. "The Rising Price of Husbands: A Hedonic Analysis of Dowry Increases in Rural India," Journal of Political Economy, University of Chicago Press, vol. 101(4), pages 666-677, August.
    2. Hanan G. Jacoby & Ghazala Mansuri, 2010. "Watta Satta: Bride Exchange and Women's Welfare in Rural Pakistan," American Economic Review, American Economic Association, vol. 100(4), pages 1804-1825, September.
    3. Maristella Botticini & Aloysius Siow, 2003. "Why Dowries?," American Economic Review, American Economic Association, vol. 93(4), pages 1385-1398, September.
    4. Banerjee, Abhijit V & Newman, Andrew F, 1993. "Occupational Choice and the Process of Development," Journal of Political Economy, University of Chicago Press, vol. 101(2), pages 274-298, April.
    5. Rosenzweig, Mark R & Stark, Oded, 1989. "Consumption Smoothing, Migration, and Marriage: Evidence from Rural India," Journal of Political Economy, University of Chicago Press, vol. 97(4), pages 905-926, August.
    6. Michael Peters & Aloysius Siow, 2002. "Competing Premarital Investments," Journal of Political Economy, University of Chicago Press, vol. 110(3), pages 592-608, June.
    7. Eliana La Ferrara, 2003. "Kin Groups and Reciprocity: A Model of Credit Transactions in Ghana," American Economic Review, American Economic Association, vol. 93(5), pages 1730-1751, December.
    8. Francis Bloch & Vijayendra Rao, 2002. "Terror as a Bargaining Instrument: A Case Study of Dowry Violence in Rural India," American Economic Review, American Economic Association, vol. 92(4), pages 1029-1043, September.
    9. Joshi, Shareen, 2004. "Female Household-Headship in Rural Bangladesh: Incidence, Determinants and Impact on Children's Schooling," Center Discussion Papers 28424, Yale University, Economic Growth Center.
    10. Junsen Zhang & William Chan, 1999. "Dowry and Wife's Welfare: A Theoretical and Empirical Analysis," Journal of Political Economy, University of Chicago Press, vol. 107(4), pages 786-808, August.
    11. Shareen Joshi, 2004. "Female Household-Headship in Rural Bangladesh: Incidence, Determinants and Impact on Children's Schooling Shareen Joshi," Working Papers 894, Economic Growth Center, Yale University.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Quy-Toan Do & Sriya Iyer & Shareen Joshi, 2013. "The Economics of Consanguineous Marriages," The Review of Economics and Statistics, MIT Press, vol. 95(3), pages 904-918, July.
    2. Magda Tsaneva, 2020. "The Effect of Weather Variability on Child Marriage in Bangladesh," Journal of International Development, John Wiley & Sons, Ltd., vol. 32(8), pages 1346-1359, November.
    3. Barbara Cavalletti & Corrado Lagazio & Daniela Vandone & Elena Lagomarsino, 2012. "The role of financial position on consumer indebted-ness. An empirical analysis in Italy," DEP - series of economic working papers 8/2012, University of Genoa, Research Doctorate in Public Economics.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Marcel Fafchamps & Agnes R. Quisumbing & IFPRI, 2006. "Household Formation and Marriage Markets," Economics Series Working Papers GPRG-WPS-039, University of Oxford, Department of Economics.
    2. Quy-Toan Do & Sriya Iyer & Shareen Joshi, 2013. "The Economics of Consanguineous Marriages," The Review of Economics and Statistics, MIT Press, vol. 95(3), pages 904-918, July.
    3. V. Bhaskar, 2011. "Sex Selection and Gender Balance," American Economic Journal: Microeconomics, American Economic Association, vol. 3(1), pages 214-244, February.
    4. Ahmed Mobarak & Randall Kuhn & Christina Peters, 2013. "Consanguinity and Other Marriage Market Effects of a Wealth Shock in Bangladesh," Demography, Springer;Population Association of America (PAA), vol. 50(5), pages 1845-1871, October.
    5. Hanan G. Jacoby & Ghazala Mansuri, 2010. "Watta Satta: Bride Exchange and Women's Welfare in Rural Pakistan," American Economic Review, American Economic Association, vol. 100(4), pages 1804-1825, September.
    6. Anja Sautmann, 2011. "Partner Search and Demographics: The Marriage Squeeze in India," Working Papers 2011-12, Brown University, Department of Economics.
    7. Anukriti, S & Dasgupta, Shatanjaya, 2017. "Marriage Markets in Developing Countries," IZA Discussion Papers 10556, Institute of Labor Economics (IZA).
    8. Lucia Corno & Nicole Hildebrandt & Alessandra Voena, 2020. "Age of Marriage, Weather Shocks, and the Direction of Marriage Payments," Econometrica, Econometric Society, vol. 88(3), pages 879-915, May.
    9. Raj Arunachalam & Trevon Logan, 2016. "On the heterogeneity of dowry motives," Journal of Population Economics, Springer;European Society for Population Economics, vol. 29(1), pages 135-166, January.
    10. Matthew J. Baker & Joyce P. Jacobsen, 2007. "A Human Capital-Based Theory of Postmarital Residence Rules," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 23(1), pages 208-241, April.
    11. Momoe Makino, 2019. "Dowry in the absence of the legal protection of women’s inheritance rights," Review of Economics of the Household, Springer, vol. 17(1), pages 287-321, March.
    12. Soumyanetra Munshi, 2014. "Arranged marriage, education and dowry: A Contract-theoretic perspective," Indira Gandhi Institute of Development Research, Mumbai Working Papers 2014-006, Indira Gandhi Institute of Development Research, Mumbai, India.
    13. Momoe Makino, 2019. "Marriage, dowry, and women’s status in rural Punjab, Pakistan," Journal of Population Economics, Springer;European Society for Population Economics, vol. 32(3), pages 769-797, July.
    14. Siwan Anderson, 2007. "Dowry and Property Rights," Working Papers id:1104, eSocialSciences.
    15. Fafchamps, Marcel & Quisumbing, Agnes, 2005. "Assets at marriage in rural Ethiopia," Journal of Development Economics, Elsevier, vol. 77(1), pages 1-25, June.
    16. Purkayastha, Dipankar, 2006. "Norms of reciprocity and human capital formation in a poor patriarchal household," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 35(1), pages 72-82, February.
    17. Lídia Farré, 2013. "The Role of Men in the Economic and Social Development of Women: Implications for Gender Equality," The World Bank Research Observer, World Bank Group, vol. 28(1), pages 22-51, February.
    18. Maristella Botticini & Aloysius Siow, 2003. "Why Dowries?," American Economic Review, American Economic Association, vol. 93(4), pages 1385-1398, September.
    19. Lucia Corno & Nicole Hildebrandt & Alessandra Voena, 2016. "Weather Shocks, Age of Marriage and the Direction of Marriage Payments," DISCE - Working Papers del Dipartimento di Economia e Finanza def040, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    20. Jacob, Arun, 2016. "Gender Bias in Educational Attainment in India : The Role of Dowry Payments," MPRA Paper 76338, University Library of Munich, Germany.

    More about this item

    Keywords

    Marriage; consanguinity; dowry; credit constraints;
    All these keywords.

    JEL classification:

    • J1 - Labor and Demographic Economics - - Demographic Economics
    • I1 - Health, Education, and Welfare - - Health
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cam:camdae:0653. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: https://www.econ.cam.ac.uk/ .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Jake Dyer (email available below). General contact details of provider: https://www.econ.cam.ac.uk/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.