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Marriage Wage Premium in a Search Equilibrium

Lookup NU author(s): Dr Roberto Bonilla Trejos, Dr Francis Kiraly

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Abstract

In this paper we propose a new theoretical explanation for the existence of male marriage wage premium, based entirely on search frictions. We analyse the interaction of frictional labour and marriage markets. We present and explore a search equilibrium characterised by wage dispersion where only high earning men get married. We also examine other equilibria where the marriage market may or may not influence labour market outcomes.

Publication metadata

Author(s): Bonilla R, Kiraly F

Publication type: Article

Publication status: Published

Journal: Labour Economics

Year: 2013

Volume: 24

Pages: 107-115

Print publication date: 11/07/2013

ISSN (print): 0927-5371

Publisher: Elsevier BV

URL: http://dx.doi.org/10.1016/j.labeco.2013.05.004

DOI: 10.1016/j.labeco.2013.05.004

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