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IZA Discussion Paper No. 12210
March 2019
Marriage Market Equilibrium, Qualifications, and Ability

We study marital sorting on academic qualifications and latent ability in an equilibrium marriage market model using the 1972 UK Raising of the School-Leaving Age (RoSLA) legislation as a natural experiment that induced a sudden, large shift in the distribution of academic qualifications in affected cohorts, but plausibly had no impact on the distribution of ability. We show that a Choo and Siow (2006) model with sorting on cohort, qualifications, and latent ability is identified and estimable using the RoSLA-induced population shifts. We find that the RoSLA isolated low ability individuals in the marriage market, and affected marital outcomes of individuals whose qualification attainment were unaffected. We also decompose the difference in marriage probabilities between unqualified individuals and those with basic qualifications into causal effects stemming from ability and qualification differences. Differences in marriage probabilities are almost entirely driven by ability.

Communications
Mark Fallak
mark.fallak@liser.lu
+352 585-855-526
World of Labour
Olga Nottmeyer
olga.nottmeyer@liser.lu
+352 585-855-501
Network Coordination
Christina Gathmann
christina.gathmann@liser.lu

The IZA@LISER Network is a global community of scholars dedicated to excellence in labor economics and related fields, now coordinated at the Luxembourg Institute of Socio-Economic Research (LISER) following its transition from Bonn.

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