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Human Capital Investments, Differential Fecundity, and the Marriage Market

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  • Zhang, Hanzhe

    (Michigan State University, Department of Economics)

Abstract

This paper provides a model that can explain why women go to college at higher rates but have lower average incomes than men in the US and other countries. Differential fecundity and a general-equilibrium marriage-market effect form the basis of our explanation. The model can also explain the relationships between age at marriage and personal midlife income for men and for women as well as the relationship between age at marriage and spousal midlife income for women. Our explanations for these facts are supported by empirical evidence and calibration results.

Suggested Citation

  • Zhang, Hanzhe, 2018. "Human Capital Investments, Differential Fecundity, and the Marriage Market," Working Papers 2018-7, Michigan State University, Department of Economics.
  • Handle: RePEc:ris:msuecw:2018_007
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    File URL: http://econ.msu.edu/repec/wp/1806InvestMarriage.pdf
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    Cited by:

    1. He, Simin & Wu, Jiabin & Zhang, Hanzhe, 2021. "Experimental and Noncooperative Analyses of Decentralized Matching with Transfers," Working Papers 2021-2, Michigan State University, Department of Economics.
    2. Gershoni, Naomi & Low, Corinne, 2021. "The power of time: The impact of free IVF on Women’s human capital investments," European Economic Review, Elsevier, vol. 133(C).
    3. Naomi Gershoni & Corinne Low, 2020. "The Power of Time: The Impact of Free IVF on Women’s Human Capital Investments," Working Papers 2011, Ben-Gurion University of the Negev, Department of Economics.
    4. Zhang, Hanzhe, 2020. "A Marriage-Market Perspective on Risk-Taking and Career Choices: Theory and Evidence," Working Papers 2020-2, Michigan State University, Department of Economics.
    5. Wu, Jiabin & Zhang, Hanzhe, 2021. "Preference evolution in different matching markets," European Economic Review, Elsevier, vol. 137(C).

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    More about this item

    Keywords

    college gender gap; relationships between age at marriage and income;

    JEL classification:

    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends, Macroeconomic Effects, and Forecasts

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