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Poverty and Choice of Marital Status: A Self-Selection Model

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  • Joan R. Rodgers

Abstract

Over the last few decades in the United States, the poverty rate for female-headed families has been about five times the poverty rate for other family types. This paper addresses the question of why, in general, female-headed families are so much poorer than other families. Recognizing that individuals choose their own marital status, a self-selection model is used to identify the factors which determine the poverty rates for married- couple families, families headed by females with no husband present, and families headed by males with no wife present. The following control variables are found to be important determinants of poverty for all three family types: education of family members; age, race, disability, and unemployment of the family head; geographical location, size and composition of the family. Both married-couple families and male-headed families are found to be less poor than female-headed families mainly because the marginal effects of the control variables, and to a lesser extent the mean levels of the control variables, favor the former two types of families over female-headed families.

Suggested Citation

  • Joan R. Rodgers, 1990. "Poverty and Choice of Marital Status: A Self-Selection Model," Economics Working Paper Archive wp_42, Levy Economics Institute.
    • Handle: RePEc:lev:wrkpap:wp_42
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    References listed on IDEAS

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    1. Becker, Gary S & Landes, Elisabeth M & Michael, Robert T, 1977. "An Economic Analysis of Marital Instability," Journal of Political Economy, University of Chicago Press, vol. 85(6), pages 1141-1187, December.
    2. Alan S. Blinder, 1973. "Wage Discrimination: Reduced Form and Structural Estimates," Journal of Human Resources, University of Wisconsin Press, vol. 8(4), pages 436-455.
    3. Greg J. Duncan & Saul D. Hoffman, 1985. "Economic Consequences of Marital Instability," NBER Chapters, in: Horizontal Equity, Uncertainty, and Economic Well-Being, pages 427-470, National Bureau of Economic Research, Inc.
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    Cited by:

    1. Joan R. Rodgers, 1991. "Female-Headed Families: Why Are They So Poor?," Economics Working Paper Archive wp_45, Levy Economics Institute.

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