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The Economic Consequences of Divorce and Separation in Colombia

Author

Listed:
  • Guarín, Angela

    (Universidad de los Andes)

  • Ham Gonzalez, Andres

    (Universidad de los Andes)

Abstract

This article provides evidence on the economic consequences of union dissolution, divorce, and the breakup of cohabiting unions, using three waves of a nationally representative longitudinal survey. We estimate individual fixed-effects models with region-specific time trends and conduct a battery of robustness checks to address selection. Results show no average change in household resources, but sharp gender and spatial asymmetries. After separation, men's per-capita household income rises by about 40 percent, while women's falls by 20 percent in urban areas and nearly 45 percent in rural ones. Two mechanisms explain the gap: (i) household size contracts for men but not for women because children remain with mothers, and (ii) urban women partly offset losses through greater transfers and a 14 percentage point rise in employment, options largely unavailable to rural women. By separately identifying marriage and cohabitation break-ups in a middle-income country with limited safety nets, this study extends the literature on the consequences of union dissolution and highlights policy levers, child-support enforcement, cash transfers, and childcare access, needed to mitigate post-separation poverty, especially for rural mothers.

Suggested Citation

  • Guarín, Angela & Ham Gonzalez, Andres, 2026. "The Economic Consequences of Divorce and Separation in Colombia," IZA Discussion Papers 18506, IZA Network @ LISER.
    • Handle: RePEc:iza:izadps:dp18506
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    References listed on IDEAS

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    1. repec:ecr:col028:39659 is not listed on IDEAS
    2. Susan Brown & Jennifer Hook & Jennifer Glick, 2008. "Generational Differences in Cohabitation and Marriage in the US," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 27(5), pages 531-550, October.
    3. Laura Tach & Alicia Eads, 2015. "Trends in the Economic Consequences of Marital and Cohabitation Dissolution in the United States," Demography, Springer;Population Association of America (PAA), vol. 52(2), pages 401-432, April.
    4. Thomas Leopold & Matthijs Kalmijn, 2016. "Is Divorce More Painful When Couples Have Children? Evidence From Long-Term Panel Data on Multiple Domains of Well-being," Demography, Springer;Population Association of America (PAA), vol. 53(6), pages 1717-1742, December.
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    Keywords

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    JEL classification:

    • D10 - Microeconomics - - Household Behavior - - - General
    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure

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