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BEGIN:VEVENT
DTSTAMP:20260427T065902Z
DTSTART;VALUE=DATE-TIME:20260217T130000
DTEND;VALUE=DATE-TIME:20260217T140000
SUMMARY:CWIP (CAGE Work in Progress) Workshop - Victor Lavy (ÌÇÐÄTV)
TZID:Europe/London
UID:20260217-8ac672c49c03dd66019c09409dc71100@warwick.ac.uk
CREATED:20260216T151745Z
DESCRIPTION:Title: The Effect of Economic Inequality on Assortative Match
 ing: The Formation and Dissolution of Marriages Ran Abramitzky\,[1] Neta
 nel Ben-Porath\,[2] and Victor Lavy.[3] [1]Stanford University and the N
 BER. [2] Northwestern University. [3] ÌÇÐÄTV University\, The Hebrew Un
 iversity\, NBER\, and CEPR. Abstract - The increase in assortative match
 ing in marriage markets observed across many nations worldwide is a cont
 ributing factor to rising income inequality. This paper suggests that th
 e causal chain also runs in reverse: deepening labor market inequality c
 ould trigger greater assortative matching in the marriage market. To est
 ablish causality\, we study the Israeli kibbutzim that transitioned from
  equal sharing to market economies. A reform that followed a staggered a
 doption pattern across kibbutzim abolished egalitarian income sharing\, 
 generating inequalities by linking wages to education for the first time
 . This enabled us to conduct a series of difference-in-differences analy
 ses to examine the impact of the reform on divorce and marriage patterns
 . First\, we find that the rise in economic inequality led to divorce am
 ong couples with unequal education\, but only when the wife was more edu
 cated than the husband. This finding is consistent with a violation of t
 he norm that dictates the husband should be the primary breadwinner. Sec
 ond\, we find that the reform increased assortative matching in educatio
 n\, resulting in a significant reduction in educational differences amon
 g newly married couples. Importantly\, we find that assortative matching
  existed in the kibbutzim even before liberalization\, when earnings wer
 e not related to education. This suggests that assortative matching on e
 ducation is driven not only by income but also by a preference for marry
 ing a partner who is similarly educated. Overall\, we conclude that asso
 rtative matching increased following the reform\, both through the forma
 tion of new marriages and the selection of spouses\, as well as the diss
 olution of existing marriages. These results demonstrate that increased 
 labor-market inequality may increase inter-household inequality by boost
 ing assortative matching in the marriage market.
LOCATION:S2.79
CATEGORIES:CWIP Workshop
LAST-MODIFIED:20260216T151745Z
ORGANIZER;CN=Gill Gudger:
END:VEVENT
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