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Plenty of Fish in the Sea: Divorce Choice and the Quality of Singles

Author

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  • Alessandro Tampieri
  • Elena Parilina

Abstract

We analyze divorce choice when the population distribution is non stationary. We consider a non-transferable utility, three-period model where heterogeneous individuals may divorce the partner and re-enter the marriage market. Individuals’choices are based on the change in the distribution of singles and the cost of waiting and divorcing, and take into account the individual own’s eligibility in the marriage market. We show the existence of “divorce†and “no divorce†equilibria. Divorce emerges in the presence of asymmetry among spouses’ types or in case of symmetry among medium-type spouses. Interestingly, lower divorce costs do not necessarily increase the probability of divorce. We then discuss how this framework can help interpreting the effects of divorce reforms on divorce rates.

Suggested Citation

  • Alessandro Tampieri & Elena Parilina, 2018. "Plenty of Fish in the Sea: Divorce Choice and the Quality of Singles," Working Papers - Economics wp2018_07.rdf, Universita' degli Studi di Firenze, Dipartimento di Scienze per l'Economia e l'Impresa.
    • Handle: RePEc:frz:wpaper:wp2018_07.rdf
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    JEL classification:

    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory

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