Sunday, April 2, 2023

For male winners, wealth increases marriage formation and reduces divorce risk, suggesting wealth increases men’s attractiveness as prospective and current partners

Fortunate Families? The Effects of Wealth on Marriage and Fertility. David Cesarini, Erik Lindqvist, Robert Östling & Anastasia Terskaya. NBER Working Paper 31039, March 2023. DOI 10.3386/w31039


Abstract: We estimate the effects of large, positive wealth shocks on marriage and fertility in a sample of Swedish lottery players. For male winners, wealth increases marriage formation and reduces divorce risk, suggesting wealth increases men’s attractiveness as prospective and current partners. Wealth also increases male fertility. The only discernible effect on female winners is that wealth increases their short-run (but not long-run) divorce risk. Our results for divorce are consistent with a model where the wealthier spouse retains most of his/her wealth in divorce. In support of this assumption, we show divorce settlements in Sweden often favor the richer spouse.


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My comment... "[W]e show divorce settlements in Sweden often favor the richer spouse." What was this supposed to mean? Are we implying here that divorce should be confiscatory of wealth? Divorce courts as the great redistributors? Or was this printed to balance the main message, that men that increase wealth have less contentious spouses, and this reflects, from a traditional viewpoint, badly in the spouses?


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