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Estimating Social Effects in Matching Markets: Externalities in Spousal Search

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  • Scott Drewianka

    (The University of Wisconsin-Milwaukee)

Abstract

This paper investigates the hypothesis that individuals are less willing to marry when there are more potential partners to search amongst, and thus when others are also less prone to marry. To do this, it develops a reduced-form method [a variation on Manski's (1993) model] that allows identification of such spillovers in two-sided matching markets. Estimates from this method are internally consistent, unbiased, robust to different definitions of the marriage market, and large enough to warrant attention. Additional evidence suggests that the effect works via the proposed search mechanism. © 2003 President and Fellows of Harvard College and the Massachusetts Institute of Technology.

Suggested Citation

  • Scott Drewianka, 2003. "Estimating Social Effects in Matching Markets: Externalities in Spousal Search," The Review of Economics and Statistics, MIT Press, vol. 85(2), pages 409-423, May.
    • Handle: RePEc:tpr:restat:v:85:y:2003:i:2:p:409-423
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    Citations

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    Cited by:

    1. Steven N. Durlauf & Yannis M. Ioannides, 2010. "Social Interactions," Annual Review of Economics, Annual Reviews, vol. 2(1), pages 451-478, September.
    2. Nicoletta Balbo & Nicola Barban & Melinda Mills, 2013. "Friend and peer effects on entry into marriage and parenthood: A multiprocess approach," Working Papers 056, "Carlo F. Dondena" Centre for Research on Social Dynamics (DONDENA), Università Commerciale Luigi Bocconi.
    3. J. Gimenez-Nadal & Jose Molina & Almudena Sevilla-Sanz, 2012. "Social norms, partnerships and children," Review of Economics of the Household, Springer, vol. 10(2), pages 215-236, June.
    4. Adamopoulou, Effrosyni, 2012. "Peer Effects in Young Adults' Marital Decisions," UC3M Working papers. Economics we1228, Universidad Carlos III de Madrid. Departamento de Economía.
    5. Gimenez-Nadal, José Ignacio & Molina, José Alberto & Sevilla, Almudena, 2007. "Household Division of Labor, Partnerships and Children: Evidence from Europe," IZA Discussion Papers 2884, Institute of Labor Economics (IZA).
    6. Maristella Botticini & Aloysius Siow, 2006. "Are There Increasing Returns in Marriage Markets?," Boston University - Department of Economics - Working Papers Series WP2006-050, Boston University - Department of Economics.
    7. Drewianka, Scott, 2006. "A generalized model of commitment," Mathematical Social Sciences, Elsevier, vol. 52(3), pages 233-251, December.
    8. Shannon Seitz, 2009. "Accounting for Racial Differences in Marriage and Employment," Journal of Labor Economics, University of Chicago Press, vol. 27(3), pages 385-437, July.
    9. Yannis M. Ioannides & Giorgio Topa, 2010. "Neighborhood Effects: Accomplishments And Looking Beyond Them," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 343-362, February.
    10. Kotyrlo, Elena, 2016. "Space-time dynamics of fertility and commuting," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 41, pages 78-95.
    11. Janice Compton & Robert A. Pollak, 2007. "Why Are Power Couples Increasingly Concentrated in Large Metropolitan Areas?," Journal of Labor Economics, University of Chicago Press, vol. 25(3), pages 475-512.
    12. Maristella Botticini & Aloysius Siow, 2011. "Are There Increasing Returns to Scale in Marriage Markets?," Working Papers 395, IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University.
    13. Johan Almenberg & Anna Dreber, 2009. "Lady and the Trump: Status and Wealth in the Marriage Market," Kyklos, Wiley Blackwell, vol. 62(2), pages 161-181, April.
    14. Almudena Sevilla-Sanz, 2005. "Social Effects, Household Time Allocation, and the Decline in Union Formation: Working Paper 2005-07," Working Papers 16517, Congressional Budget Office.
    15. Ismael Mourifie & Aloysius Siow, 2015. "Cohabitation versus marriage: Marriage matching with peer effects," Working Papers tecipa-531, University of Toronto, Department of Economics.
    16. Yannis Ioannides, 2006. "Empirics of Social Interactions," Discussion Papers Series, Department of Economics, Tufts University 0611, Department of Economics, Tufts University.
    17. Almudena Sevilla-Sanz, 2007. "Division of Household Labor and Cross-Country Differences in Household Formation Rates," Economics Series Working Papers 325, University of Oxford, Department of Economics.
    18. Yamamura, Eiji, 2009. "Socio-economic status, gender, and spouse’s earnings: affect of family background on matching," MPRA Paper 17100, University Library of Munich, Germany.
    19. Tie-Ying Liu & Hsu-Ling Chang & Chi-Wei Su, 2017. "Why do People Get Married? An Inframarginal Perspective," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 130(3), pages 1281-1295, February.

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