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Manning Up and Womaning Down: How Husbands and Wives Report Earnings When She Earns More

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  • Misty Heggeness
  • Marta Murray-Close

Abstract

To infer social preferences regarding the relative earnings of spouses, we use measurement error in the earnings reported for married couples in the Current Population Survey. We compare the earnings reported for husbands and wives in the survey with their “true” earnings as reported by their employers to tax authorities. Compared with couples where the wife earns just less than the husband, those where she earns just more are 15.9 percentage points more likely to under-report her relative earnings. This pattern reflects the reporting behavior of both husbands and wives and is consistent with a norm that husbands out-earn their wives.

Suggested Citation

  • Misty Heggeness & Marta Murray-Close, 2019. "Manning Up and Womaning Down: How Husbands and Wives Report Earnings When She Earns More," Opportunity and Inclusive Growth Institute Working Papers 28, Federal Reserve Bank of Minneapolis.
  • Handle: RePEc:fip:fedmoi:87577
    DOI: 10.21034/iwp.28
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    References listed on IDEAS

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    1. Bruce D. Meyer & Nikolas Mittag, 2019. "Using Linked Survey and Administrative Data to Better Measure Income: Implications for Poverty, Program Effectiveness, and Holes in the Safety Net," American Economic Journal: Applied Economics, American Economic Association, vol. 11(2), pages 176-204, April.
    2. Bruce D. Meyer & Nikolas Mittag, 2015. "Using Linked Survey and Administrative Data to Better Measure Income: Implications for Poverty, Program Effectiveness and Holes in the Safety Net," Upjohn Working Papers 15-242, W.E. Upjohn Institute for Employment Research.
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    8. Barry T. Hirsch & Edward J. Schumacher, 2004. "Match Bias in Wage Gap Estimates Due to Earnings Imputation," Journal of Labor Economics, University of Chicago Press, vol. 22(3), pages 689-722, July.
    9. Anja Roth & Michaela Slotwinski, 2018. "Gender Norms and Income Misreporting within Households," CESifo Working Paper Series 7298, CESifo.
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    12. Jungmin Lee & Sokbae Lee, 2012. "Does it Matter WHO Responded to the Survey? Trends in the U.S. Gender Earnings Gap Revisited," ILR Review, Cornell University, ILR School, vol. 65(1), pages 148-160, January.
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    Cited by:

    1. Misty L. Heggeness, 2020. "Estimating the immediate impact of the COVID-19 shock on parental attachment to the labor market and the double bind of mothers," Review of Economics of the Household, Springer, vol. 18(4), pages 1053-1078, December.
    2. Ariel J. Binder & David Lam, 2022. "Is There a Male-Breadwinner Norm? The Hazards of Inferring Preferences from Marriage Market Outcomes," Journal of Human Resources, University of Wisconsin Press, vol. 57(6), pages 1885-1914.
    3. Francine D. Blau & Lawrence M. Kahn & Matthew Comey & Amanda Eng & Pamela Meyerhofer & Alexander Willén, 2020. "Culture and gender allocation of tasks: source country characteristics and the division of non-market work among US immigrants," Review of Economics of the Household, Springer, vol. 18(4), pages 907-958, December.
    4. Gigi Foster & Leslie S. Stratton, 2021. "Does female breadwinning make partnerships less healthy or less stable?," Journal of Population Economics, Springer;European Society for Population Economics, vol. 34(1), pages 63-96, January.
    5. Dervisevic, Ervin & Goldstein, Markus, 2023. "He said, she said: The impact of gender and marriage perceptions on self and proxy reporting of labor," Journal of Development Economics, Elsevier, vol. 161(C).
    6. Michèle Belot & Syngjoo Choi & Egon Tripodi & Eline van den Broek-Altenburg & Julian C. Jamison & Nicholas W. Papageorge, 2021. "Unequal consequences of Covid 19: representative evidence from six countries," Review of Economics of the Household, Springer, vol. 19(3), pages 769-783, September.
    7. Akerlof, Robert & Rayo, Luis, 2020. "Narratives and the Economics of the Family," The Warwick Economics Research Paper Series (TWERPS) 1299, University of Warwick, Department of Economics.
    8. Cullen,Claire Alexis, 2020. "Method Matters : Underreporting of Intimate Partner Violence in Nigeria and Rwanda," Policy Research Working Paper Series 9274, The World Bank.
    9. Meghaan R. Lurtz & Derek T. Tharp & Katherine S. Mielitz & Michael Kitces & D. Allen Ammerman, 2020. "Decomposing the Gender Divorce Gap Among Personal Financial Planners," Journal of Family and Economic Issues, Springer, vol. 41(1), pages 19-36, March.
    10. Natalia Zinovyeva & Maryna Tverdostup, 2021. "Gender Identity, Coworking Spouses, and Relative Income within Households," American Economic Journal: Applied Economics, American Economic Association, vol. 13(4), pages 258-284, October.
    11. Lukáš Lafférs & Bernhard Schmidpeter, 2021. "Early child development and parents' labor supply," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 36(2), pages 190-208, March.
    12. Akerlof, Robert & Rayo, Luis, 2020. "Narratives and the Economics of the Family," CAGE Online Working Paper Series 503, Competitive Advantage in the Global Economy (CAGE).
    13. Daniel Kuehnle & Michael Oberfichtner & Kerstin Ostermann, 2021. "Revisiting gender identity and relative income within households: A cautionary tale on the potential pitfalls of density estimators," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 36(7), pages 1065-1073, November.
    14. Misty Heggeness, 2020. "Why Is Mommy So Stressed? Estimating the Immediate Impact of the COVID-19 Shock on Parental Attachment to the Labor Market and the Double Bind of Mothers," Opportunity and Inclusive Growth Institute Working Papers 33, Federal Reserve Bank of Minneapolis.
    15. Anja Roth & Michaela Slotwinski, 2018. "Gender Norms and Income Misreporting within Households," CESifo Working Paper Series 7298, CESifo.
    16. Arielle Bernhardt & Erica Field & Rohini Pande & Natalia Rigol, 2019. "Household Matters: Revisiting the Returns to Capital among Female Microentrepreneurs," American Economic Review: Insights, American Economic Association, vol. 1(2), pages 141-160, September.

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    More about this item

    Keywords

    Gender; Earnings; Spousal earnings; Social norms; Data quality; Survey misreporting; Administrative records;
    All these keywords.

    JEL classification:

    • D10 - Microeconomics - - Household Behavior - - - General
    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination

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