Marriage Wage Premium in a Search Equilibrium (2013)

Author(s): Bonilla R, Kiraly F

    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.

      • Date: 11-07-2013
      • Journal: Labour Economics
      • Volume: 24
      • Pages: 107-115
      • Publisher: Elsevier BV
      • Publication type: Article
      • Bibliographic status: Published

      Keywords: wages, divorce, frictional labour markets


      Dr Roberto Bonilla Trejos
      Lecturer in Economics

      Dr Francis Kiraly
      Lecturer in Economics and Director of Undergraduate Studies