IDEAS home Printed from https://ideas.repec.org/a/eee/jpolmo/v37y2015i1p107-123.html
   My bibliography  Save this article

Marriage crisis and housing costs: Empirical evidence from provinces of Iran

Author

Listed:
  • Gholipour, Hassan F.
  • Farzanegan, Mohammad Reza

Abstract

The term “marriage crisis” is becoming more visible in Iranian public and private debates and constitutes a major issue in political discussions at the time of elections. The increasing proportion of the young working age population in Iran has difficulty establishing families. This has increased political concerns about addressing the basic needs of young Iranians. This study examines the link between housing costs and the marriage rate in Iran, controlling for other relevant economic determinants of marriage. Using a panel of provinces of Iran over a period of nine years (2002–2010) and applying the generalized method of moments (GMM) estimator, our results reveal that there is a negative relationship between housing costs and the marriage rate. We also find that government special loans for marriage, and a lower unemployment rate, increase the marriage rate. Finally, increasing spending on higher education has a dampening effect on the marriage rate.

Suggested Citation

  • Gholipour, Hassan F. & Farzanegan, Mohammad Reza, 2015. "Marriage crisis and housing costs: Empirical evidence from provinces of Iran," Journal of Policy Modeling, Elsevier, vol. 37(1), pages 107-123.
  • Handle: RePEc:eee:jpolmo:v:37:y:2015:i:1:p:107-123
    DOI: 10.1016/j.jpolmod.2015.01.009
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0161893815000101
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.jpolmod.2015.01.009?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Maite Martínez-Granado & Javier Ruiz-Castillo, 2002. "The decisions of Spanish youth: A cross-section study," Journal of Population Economics, Springer;European Society for Population Economics, vol. 15(2), pages 305-330.
    2. Srinivasan, T. N., 1988. "Population growth and economic development," Journal of Policy Modeling, Elsevier, vol. 10(1), pages 7-28, April.
    3. Warnock, Veronica Cacdac & Warnock, Francis E., 2008. "Markets and housing finance," Journal of Housing Economics, Elsevier, vol. 17(3), pages 239-251, September.
    4. repec:bla:econom:v:63:y:1996:i:251:p:383-404 is not listed on IDEAS
    5. Borsch-Supan, Axel, 1986. "Household formation, housing prices, and public policy impacts," Journal of Public Economics, Elsevier, vol. 30(2), pages 145-164, July.
    6. Zhu Xiao Di & Xiaodong Liu, 2006. "The Effects of Housing Push Factors and Rent Expectations on Household Formation of Young Adults," Journal of Real Estate Research, American Real Estate Society, vol. 28(2), pages 149-166.
    7. Bjorvatn, Kjetil & Farzanegan, Mohammad Reza & Schneider, Friedrich, 2012. "Resource Curse and Power Balance: Evidence from Oil-Rich Countries," World Development, Elsevier, vol. 40(7), pages 1308-1316.
    8. Farzanegan, Mohammad Reza & Markwardt, Gunther, 2009. "The effects of oil price shocks on the Iranian economy," Energy Economics, Elsevier, vol. 31(1), pages 134-151, January.
    9. World Bank, 2014. "World Development Indicators 2014," World Bank Publications - Books, The World Bank Group, number 18237.
    10. William A.V. Clark, 2012. "Do women delay family formation in expensive housing markets?," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 27(1), pages 1-24.
    11. Cao, Shixiong & Wang, Xiuqing, 2010. "Unsustainably low birth rates: A potential crisis leading to loss of racial and cultural diversity in China," Journal of Policy Modeling, Elsevier, vol. 32(1), pages 159-162, January.
    12. Esmaeil Hadavandi & Arash Ghanbari & S. Mohsen Mirjani & Salman Abbasian, 2011. "An econometric panel data‐based approach for housing price forecasting in Iran," International Journal of Housing Markets and Analysis, Emerald Group Publishing Limited, vol. 4(1), pages 70-83, March.
    13. Nuno Martins & Ernesto Villanueva, 2009. "Does High Cost of Mortgage Debt Explain Why Young Adults Live with Their Parents?," Journal of the European Economic Association, MIT Press, vol. 7(5), pages 974-1010, September.
    14. Lee, Chul-In, 2007. "Does provision of public rental housing crowd out private housing investment? A panel VAR approach," Journal of Housing Economics, Elsevier, vol. 16(1), pages 1-20, March.
    15. Ekert-Jaffe, Olivia & Solaz, Anne, 2001. "Unemployment, marriage, and cohabitation in France," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 30(1), pages 75-98, January.
    16. Hondroyiannis, George & Papapetrou, Evangelia, 2001. "Demographic changes, labor effort and economic growth: empirical evidence from Greece," Journal of Policy Modeling, Elsevier, vol. 23(2), pages 169-188, February.
    17. Farzanegan, Mohammad Reza, 2009. "Macroeconomic of populism in Iran," MPRA Paper 15546, University Library of Munich, Germany.
    18. Haurin, Donald R & Hendershott, Patric H & Kim, Dongwook, 1993. "The Impact of Real Rents and Wages on Household Formation," The Review of Economics and Statistics, MIT Press, vol. 75(2), pages 284-293, May.
    19. Hondroyiannis, George & Papapetrou, Evangelia, 2005. "Fertility and output in Europe: new evidence from panel cointegration analysis," Journal of Policy Modeling, Elsevier, vol. 27(2), pages 143-156, March.
    20. Wintoki, M. Babajide & Linck, James S. & Netter, Jeffry M., 2012. "Endogeneity and the dynamics of internal corporate governance," Journal of Financial Economics, Elsevier, vol. 105(3), pages 581-606.
    21. Bjorvatn, Kjetil & Farzanegan, Mohammad Reza, 2013. "Demographic Transition in Resource Rich Countries: A Blessing or a Curse?," World Development, Elsevier, vol. 45(C), pages 337-351.
    22. repec:bla:econom:v:64:y:1997:i:256:p:627-44 is not listed on IDEAS
    23. Bjorvatn Kjetil & Farzanegan Mohammad Reza & Schneider Friedrich, 2013. "Resource Curse and Power Balance: Evidence from Iran," Review of Middle East Economics and Finance, De Gruyter, vol. 9(2), pages 133-158, August.
    24. Nathanael Lauster, 2006. "A room of one’s own or room enough for two? Access to housing and new household formation in Sweden, 1968–1992," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 25(4), pages 329-351, August.
    25. Farzanegan, Mohammad Reza, 2011. "Oil revenue shocks and government spending behavior in Iran," Energy Economics, Elsevier, vol. 33(6), pages 1055-1069.
    26. Hassan Gholipour Fereidouni, 2012. "The role of real estate agents on housing prices and rents: the Iranian experience," International Journal of Housing Markets and Analysis, Emerald Group Publishing Limited, vol. 5(2), pages 134-144, June.
    27. Hasan, Mohammad S., 2010. "The long-run relationship between population and per capita income growth in China," Journal of Policy Modeling, Elsevier, vol. 32(3), pages 355-372, May.
    28. Yongil Jeon & Michael P. Shields, 2005. "The Easterlin hypothesis in the recent experience of higher-income OECD countries: A panel-data approach," Journal of Population Economics, Springer;European Society for Population Economics, vol. 18(1), pages 1-13, August.
    29. Mohammad Reza Farzanegan, 2014. "Can oil-rich countries encourage entrepreneurship?," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 26(9-10), pages 706-725, December.
    30. Hamid Shahrestani & Nahid Kalbasi Anaraki, 2008. "How Would A Possible U.N. Sanction Affect The Iranian Economy?," Global Journal of Business Research, The Institute for Business and Finance Research, vol. 2(1), pages 111-123.
    31. Manuel Arellano & Stephen Bond, 1991. "Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 58(2), pages 277-297.
    32. Pedro Mira & Namkee Ahn, 2001. "Job bust, baby bust?: Evidence from Spain," Journal of Population Economics, Springer;European Society for Population Economics, vol. 14(3), pages 505-521.
    33. Ermisch, John, 1999. "Prices, Parents, and Young People's Household Formation," Journal of Urban Economics, Elsevier, vol. 45(1), pages 47-71, January.
    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. Farzanegan, Mohammad Reza & Raeisian Parvari, Mozhgan, 2014. "Iranian-Oil-Free Zone and international oil prices," Energy Economics, Elsevier, vol. 45(C), pages 364-372.
    2. Rafael González-Val, 2022. "House Prices and Marriage in Spain," Sustainability, MDPI, vol. 14(5), pages 1-16, March.
    3. Mohammad Reza Farzanegan & Sven Fischer, 2023. "The Impact of the COVID-19 Pandemic on Marriage and Childbirth: Survey-based Evidence from Iran," MAGKS Papers on Economics 202320, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    4. Fereidouni, Hassan Gholipour & Foroughi, Behzad & Tajaddini, Reza & Najdi, Youhanna, 2015. "Sport facilities and sporting success in Iran: The Resource Curse Hypothesis," Journal of Policy Modeling, Elsevier, vol. 37(6), pages 1005-1018.
    5. Mohammad Reza Farzanegan & Mehdi Feizi & Hassan F. Gholipour, 2019. "Drought and Property Prices: Empirical Evidence from Iran," MAGKS Papers on Economics 201916, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    6. Hassan F. Gholipour, 2020. "Urban house prices and investments in small and medium-sized industrial firms: Evidence from provinces of Iran," Urban Studies, Urban Studies Journal Limited, vol. 57(16), pages 3347-3362, December.
    7. Akbar Aghajanian & Sajede Vaezzade & Javad Afshar Kohan & Vaida Thompson, 2018. "Recent Trends of Marriage in Iran," The Open Family Studies Journal, Bentham Open, vol. 10(1), pages 1-8, March.
    8. Asna-ashary, Mozhgan & Farzanegan, Mohammad Reza & Feizi, Mehdi & Gholipour, Hassan, 2020. "Socio-economic determinants of child marriage: evidence from the Iranian provinces," VfS Annual Conference 2020 (Virtual Conference): Gender Economics 224513, Verein für Socialpolitik / German Economic Association.
    9. Mohammad Reza Farzanegan & Hassan F. Gholipour, 2018. "Divorce and Gold Coins: A Case Study of Iran," CESifo Working Paper Series 6873, CESifo.
    10. Tripathi, Sabyasachi, 2020. "Does economic development reduce household size? Evidence from India," Journal of Policy Modeling, Elsevier, vol. 42(5), pages 982-999.
    11. Senhu Wang & Yi Wang & Yang Shen, 2023. "The Impact of Supportive Housing Policy Scenarios on Marriage and Fertility Intentions: A Vignette Survey Experimental Study in Shanghai, China," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 42(6), pages 1-25, December.
    12. Zhang, Meng & Wang, Hong & Wang, Hao & Osmadi, Atasya Binti, 2024. "Digital economy, land resource mismatch, and urban housing costs: Evidence from China's digital governance policy perspective," Resources Policy, Elsevier, vol. 92(C).
    13. Mohammad Reza Farzanegan & Hassan F. Gholipour, 2018. "Does Gold Price Matter for Divorce Rate in Iran?," Journal of Family and Economic Issues, Springer, vol. 39(4), pages 588-599, December.
    14. Mohammad Reza Farzanegan & Mehdi Feizi & Hassan F. Gholipour, 2021. "Drought and Property Prices: Empirical Evidence from Provinces of Iran," Economics of Disasters and Climate Change, Springer, vol. 5(2), pages 203-221, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mohammad Reza Farzanegan & Hassan Fereidouni Gholipour, 2016. "Divorce and the cost of housing: evidence from Iran," Review of Economics of the Household, Springer, vol. 14(4), pages 1029-1054, December.
    2. Farzanegan, Mohammad Reza & Habibpour, Mohammad Mahdi, 2017. "Resource rents distribution, income inequality and poverty in Iran," Energy Economics, Elsevier, vol. 66(C), pages 35-42.
    3. Farzanegan, Mohammad Reza & Raeisian Parvari, Mozhgan, 2014. "Iranian-Oil-Free Zone and international oil prices," Energy Economics, Elsevier, vol. 45(C), pages 364-372.
    4. Mohammad Reza Farzanegan & Mohammad Habibpour, 2014. "Direct Distribution of Rents and the Resource Curse in Iran: A Micro-econometric Analysis," CESifo Working Paper Series 4824, CESifo.
    5. Mohammad Reza Farzanegan & Marcel Thum, 2017. "Oil Dependency and Quality of Education: New Empirical Evidence," MAGKS Papers on Economics 201745, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    6. Rafael González-Val, 2022. "House Prices and Marriage in Spain," Sustainability, MDPI, vol. 14(5), pages 1-16, March.
    7. Kjetil Bjorvatn & Mohammad Reza Farzanegan, 2014. "Resource Rents, Power, and Political Stability," CESifo Working Paper Series 4727, CESifo.
    8. Effrosyni Adamopoulou & Ezgi Kaya, 2018. "Young Adults Living with their Parents and the Influence of Peers," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 80(3), pages 689-713, June.
    9. Farzanegan, Mohammad Reza & Thum, Marcel, 2017. "More oil, less quality of education? New empirical evidence," CEPIE Working Papers 09/17, Technische Universität Dresden, Center of Public and International Economics (CEPIE).
    10. Bjorvatn, Kjetil & Farzanegan, Mohammad Reza & Schneider, Friedrich, 2012. "Resource Curse and Power Balance: Evidence from Oil-Rich Countries," World Development, Elsevier, vol. 40(7), pages 1308-1316.
    11. Farzanegan, Mohammad Reza & Lessmann, Christian & Markwardt, Gunther, 2018. "Natural resource rents and internal conflicts: Can decentralization lift the curse?," Economic Systems, Elsevier, vol. 42(2), pages 186-205.
    12. Rogers, William H. & Winkler, Anne E., 2014. "How Did the Housing and Labor Market Crises Affect Young Adults' Living Arrangements?," IZA Discussion Papers 8568, Institute of Labor Economics (IZA).
    13. Kjetil Bjorvatn & Mohammad Reza Farzanegan, 2015. "Natural-Resource Rents and Political Stability in the Middle East and North Africa," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 13(3), pages 33-37, October.
    14. Mohammad Reza Farzanegan & Pooya Alaedini & Khayyam Azizimehr, 2017. "Middle Class in Iran: Oil Rents, Modernization, and Political Development," MAGKS Papers on Economics 201756, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    15. Ishak, Phoebe W. & Farzanegan, Mohammad Reza, 2020. "The impact of declining oil rents on tax revenues: Does the shadow economy matter?," Energy Economics, Elsevier, vol. 92(C).
    16. Adamopoulou, Effrosyni, 2016. "Living Arrangements of the Youth: Determinants and Gender Differences/Patrones de convivencia de los jóvenes: Determinantes y diferencias por sexos," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 34, pages 35-44, Enero.
    17. William A.V. Clark, 2012. "Do women delay family formation in expensive housing markets?," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 27(1), pages 1-24.
    18. Mohammad Reza Farzanegan & Tim Krieger, 2018. "Oil Revenues Shocks and Inequality in Iran," Working Papers 1226, Economic Research Forum, revised 18 Sep 2018.
    19. Mohammad Reza Farzanegan, 2014. "Can Oil-Rich Countries Encourage Entrepreneurship? ‘Yes’, ‘No’ but not ‘Perhaps’," MAGKS Papers on Economics 201406, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    20. Mohammad Reza Farzanegan & Sajjad Faraji Dizaji, 2014. "Political Institutions and Government Spending Behavior in Iran," MAGKS Papers on Economics 201403, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).

    More about this item

    Keywords

    Marriage; Housing costs; Real estate; Iran; GMM;
    All these keywords.

    JEL classification:

    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • R21 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Housing Demand

    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:eee:jpolmo:v:37:y:2015:i:1:p:107-123. See general information about how to correct material in RePEc.

    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 bibliographic 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.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/505735 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.