IDEAS home Printed from https://ideas.repec.org/p/zbw/tuweco/042017.html
   My bibliography  Save this paper

The marriage gap: Optimal aging and death in partnerships

Author

Listed:
  • Schünemann, Johannes
  • Strulik, Holger
  • Trimborn, Timo

Abstract

Married people live longer than singles but how much of the longevity differential is causal and what the particular mechanisms are is not fully understood. In this paper we propose a new approach, based on counterfactual computational experiments, in order to asses how much of the marriage gap can be explained by public-goods sharing and collective bargaining of partners with different preferences and biology. For that purpose we integrate cooperative decision making of a couple into a biologically-founded life-cycle model of health deficit accumulation and endogenous longevity. We calibrate the model with U.S. data and perform the counterfactual experiment of preventing the partnership. We elaborate three economic channels and find that, as singles, men live 8.5 months shorter and women 6 months longer. We conclude that about 30% of the marriage gain in longevity of men can be motivated by economic calculus while the marriage gain for women observed in the data is attributed to selection or other (non-standard economic) motives.

Suggested Citation

  • Schünemann, Johannes & Strulik, Holger & Trimborn, Timo, 2017. "The marriage gap: Optimal aging and death in partnerships," ECON WPS - Vienna University of Technology Working Papers in Economic Theory and Policy 04/2017, Vienna University of Technology, Institute for Mathematical Methods in Economics, Research Group Economics (ECON).
  • Handle: RePEc:zbw:tuweco:042017
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/157531/1/884852997.pdf
    Download Restriction: no

    Other versions of this item:

    References listed on IDEAS

    as
    1. Jeremy Lise & Shannon Seitz, 2011. "Consumption Inequality and Intra-household Allocations," Review of Economic Studies, Oxford University Press, vol. 78(1), pages 328-355.
    2. Amy Finkelstein & Erzo F. P. Luttmer & Matthew J. Notowidigdo, 2013. "What Good Is Wealth Without Health? The Effect Of Health On The Marginal Utility Of Consumption," Journal of the European Economic Association, European Economic Association, vol. 11, pages 221-258, January.
    3. Bolin, Kristian & Jacobson, Lena & Lindgren, Bjorn, 2001. "The family as the health producer -- when spouses are Nash-bargainers," Journal of Health Economics, Elsevier, vol. 20(3), pages 349-362, May.
    4. Nezih Guner & Yuliya Kulikova & Joan Llull, 2014. "Does Marriage Make You Healthier?," Working Papers 795, Barcelona Graduate School of Economics.
    5. Anne Case & Angus S. Deaton, 2005. "Broken Down by Work and Sex: How Our Health Declines," NBER Chapters,in: Analyses in the Economics of Aging, pages 185-212 National Bureau of Economic Research, Inc.
    6. Jones, Charles I & Williams, John C, 2000. "Too Much of a Good Thing? The Economics of Investment in R&D," Journal of Economic Growth, Springer, vol. 5(1), pages 65-85, March.
    7. Alma Cohen & Liran Einav, 2007. "Estimating Risk Preferences from Deductible Choice," American Economic Review, American Economic Association, vol. 97(3), pages 745-788, June.
    8. McFadden, Daniel, 1989. "A Method of Simulated Moments for Estimation of Discrete Response Models without Numerical Integration," Econometrica, Econometric Society, vol. 57(5), pages 995-1026, September.
    9. Jacobson, Lena, 2000. "The family as producer of health -- an extended grossman model," Journal of Health Economics, Elsevier, vol. 19(5), pages 611-637, September.
    10. Alejandrina Salcedo & Todd Schoellman & Michèle Tertilt, 2012. "Families as roommates: Changes in U.S. household size from 1850 to 2000," Quantitative Economics, Econometric Society, vol. 3(1), pages 133-175, March.
    11. Raj Chetty, 2006. "A New Method of Estimating Risk Aversion," American Economic Review, American Economic Association, vol. 96(5), pages 1821-1834, December.
    12. Layard, R. & Mayraz, G. & Nickell, S., 2008. "The marginal utility of income," Journal of Public Economics, Elsevier, vol. 92(8-9), pages 1846-1857, August.
    13. Linda Waite, 1995. "Does marriage matter?," Demography, Springer;Population Association of America (PAA), vol. 32(4), pages 483-507, November.
    14. Carl-Johan Dalgaard & Holger Strulik, 2014. "Optimal Aging And Death: Understanding The Preston Curve," Journal of the European Economic Association, European Economic Association, vol. 12(3), pages 672-701, June.
    15. Michael Rendall & Margaret Weden & Melissa Favreault & Hilary Waldron, 2011. "The Protective Effect of Marriage for Survival: A Review and Update," Demography, Springer;Population Association of America (PAA), vol. 48(2), pages 481-506, May.
    16. Robert E. Hall & Charles I. Jones, 2007. "The Value of Life and the Rise in Health Spending," The Quarterly Journal of Economics, Oxford University Press, vol. 122(1), pages 39-72.
    17. Grossman, Michael, 1972. "On the Concept of Health Capital and the Demand for Health," Journal of Political Economy, University of Chicago Press, vol. 80(2), pages 223-255, March-Apr.
    18. Kohn, Jennifer L. & Averett, Susan L., 2014. "The effect of relationship status on health with dynamic health and persistent relationships," Journal of Health Economics, Elsevier, vol. 36(C), pages 69-83.
    19. Grossman, Michael, 2000. "The human capital model," Handbook of Health Economics,in: A. J. Culyer & J. P. Newhouse (ed.), Handbook of Health Economics, edition 1, volume 1, chapter 7, pages 347-408 Elsevier.
    20. repec:eee:jhecon:v:54:y:2017:i:c:p:79-90 is not listed on IDEAS
    21. Grossmann, Volker & Strulik, Holger, 2015. "Optimal social insurance and health inequality," FSES Working Papers 464, Faculty of Economics and Social Sciences, University of Freiburg/Fribourg Switzerland.
    22. repec:eee:jeborg:v:140:y:2017:i:c:p:130-146 is not listed on IDEAS
    23. Schünemann, Johannes & Strulik, Holger & Trimborn, Timo, 2017. "The gender gap in mortality: How much is explained by behavior?," Journal of Health Economics, Elsevier, vol. 54(C), pages 79-90.
    24. Carl-Johan Dalgaard & Holger Strulik, 2017. "The Genesis of the Golden Age: Accounting for the Rise in Health and Leisure," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 24, pages 132-151, March.
    25. Bolin, Kristian & Jacobson, Lena & Lindgren, Bjorn, 2002. "The family as the health producer--when spouses act strategically," Journal of Health Economics, Elsevier, vol. 21(3), pages 475-495, May.
    26. Sindelar, Jody L, 1982. "Differential Use of Medical Care by Sex," Journal of Political Economy, University of Chicago Press, vol. 90(5), pages 1003-1019, October.
    27. Strulik, Holger, 2016. "The return to education in terms of wealth and health," Center for European, Governance and Economic Development Research Discussion Papers 293, University of Goettingen, Department of Economics.
    28. Stefan Felder, 2006. "The gender longevity gap: explaining the difference between singles and couples," Journal of Population Economics, Springer;European Society for Population Economics, vol. 19(3), pages 543-557, July.
    29. Manzoli, Lamberto & Villari, Paolo & M Pirone, Giovanni & Boccia, Antonio, 2007. "Marital status and mortality in the elderly: A systematic review and meta-analysis," Social Science & Medicine, Elsevier, vol. 64(1), pages 77-94, January.
    30. Umberson, Debra, 1992. "Gender, marital status and the social control of health behavior," Social Science & Medicine, Elsevier, vol. 34(8), pages 907-917, April.
    31. Schünemann, Johannes & Strulik, Holger & Trimborn, Timo, 2017. "Going from bad to worse: Adaptation to poor health health spending, longevity, and the value of life," Journal of Economic Behavior & Organization, Elsevier, vol. 140(C), pages 130-146.
    32. Sunden, Annika E & Surette, Brian J, 1998. "Gender Differences in the Allocation of Assets in Retirement Savings Plans," American Economic Review, American Economic Association, vol. 88(2), pages 207-211, May.
    33. Douglas Almond & Janet Currie, 2011. "Killing Me Softly: The Fetal Origins Hypothesis," Journal of Economic Perspectives, American Economic Association, vol. 25(3), pages 153-172, Summer.
    34. Posner, Richard A., 1995. "Aging and Old Age," University of Chicago Press Economics Books, University of Chicago Press, number 9780226675664, November.
    35. David Lam, 1988. "Marriage Markets and Assortative Mating with Household Public Goods: Theoretical Results and Empirical Implications," Journal of Human Resources, University of Wisconsin Press, vol. 23(4), pages 462-487.
    36. repec:eee:joecag:v:6:y:2015:i:c:p:5-12 is not listed on IDEAS
    37. Waldron, Ingrid, 1993. "Recent trends in sex mortality ratios for adults in developed countries," Social Science & Medicine, Elsevier, vol. 36(4), pages 451-462, February.
    38. Liu, Hui, 2012. "Marital dissolution and self-rated health: Age trajectories and birth cohort variations," Social Science & Medicine, Elsevier, vol. 74(7), pages 1107-1116.
    39. Rachel Croson & Uri Gneezy, 2009. "Gender Differences in Preferences," Journal of Economic Literature, American Economic Association, vol. 47(2), pages 448-474, June.
    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. Carl-Johan Dalgaard & Casper Worm Hansen & Holger Strulik, 2017. "Accounting for Fetal Origins: Health Capital vs. Health Deficits," Discussion Papers 17-11, University of Copenhagen. Department of Economics.
    2. Dalgaard, Carl-Johan & Hansen, Casper Worm & Strulik, Holger, 2018. "Physiological Aging around the World and Economic Growth," CAGE Online Working Paper Series 375, Competitive Advantage in the Global Economy (CAGE).

    More about this item

    Keywords

    health; aging; longevity; marriage-gap; gender-specific preferences; unhealthy behavior;

    JEL classification:

    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • J17 - Labor and Demographic Economics - - Demographic Economics - - - Value of Life; Foregone Income
    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior

    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:zbw:tuweco:042017. 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: (ZBW - German National Library of Economics). General contact details of provider: http://edirc.repec.org/data/imtuwat.html .

    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 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.

    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.