CarriageTowneNews.com, Kingston, NH

Community News Network

February 5, 2014

Why marrying your equal can boost inequality

WASHINGTON — Rich and poor Americans are slowly but surely staking out separate lives. Increasingly, they have been moving to different communities, and more frequently they are also marrying people of similar income and educational backgrounds. This is a phenomenon social scientists call assortative mating.

In 2005, 58 percent of wives with a high school diploma were married to men with the same amount of education, new research by economist Jeremy Greenwood of the University of Pennsylvania and three colleagues shows. In 1960, by contrast, only 42 percent of wives with high school diplomas were married to men with the same level of education.

The phenomenon is happening at the top of the education distribution, too. In 2005, 43 percent of wives with college degrees were married to men who also had college degrees. In 1960, the share was 33 percent.

 What are the effects of this increased marital sorting? For one thing, it contributes to income inequality. If marriages occurred randomly across educational categories, Greenwood and his co-authors show, the Gini coefficient for household income in the U.S. in 2005 would decline to 0.34 from 0.43. (The coefficient falls as inequality decreases.) That would more than offset the entire increase in inequality that has occurred since the late 1960s. (This comparison is not entirely fair because even in the late 1960s, some assortative mating occurred. Nonetheless, it shows how large the effect is.)

Marital sorting also affects women's participation in the workforce. Since the 1970s, the correlation between the wages of husband and wife has doubled, Christian Bredemeier and Falko Juessen of the University of Dortmund found. Over the same period, wives of high-income men have increased their working hours more than wives of low-income husbands have.

In the 1970s, wives with high-earning husbands tended to work fewer hours than other wives did. Assortative mating changed the pattern.

Finally, marital sorting may be having some effect on geographical mobility. Cross-state mobility rates have been falling in the United States, research by Raven Molloy and Christopher Smith of the Federal Reserve and Abigail Wozniak of the University of Notre Dame has found.

In my role on the boards of nonprofits, I have seen many job offers declined because a move would be required, and the person's spouse would have to leave behind a promising career. Because finding two good jobs in a new city is much harder than finding just one, is it possible that this "co-location problem" for dual-earning couples with increasingly similar incomes and educational backgrounds is discouraging mobility?

Well-educated couples tend to live in large cities because it increases the chance that both spouses can find an adequate job, research by Dora Costa of the Massachusetts Institute of Technology and Matthew Kahn of the University of California at Los Angeles suggests. Another piece of evidence comes from the cross-state mobility rates themselves. Since the 1980s, they have fallen almost by half among dual-earning couples, while the rate for single (or no) earners has fallen by only a third. Yet Molloy finds some evidence that these differential trends have had only a modest effect on total mobility rates (after other factors are taken into account).

In any case, assortative mating indicates why trying to bridge the increasing divides between rich and poor in the U.S. is so complicated and difficult. If income inequality is being driven in part by changes in marriage patterns, what can anyone do about that?

 

1
Text Only
Community News Network

New England News
Obituaries
  • Alan J. Walker, 68

    Kingston, N.H. — Mr. Alan James Walker, 68, passed away peacefully at his home on July 8, 2014, after a long, brave battle with cancer.

    Continued ...
    1 day
  • James Reese

    Raymond, NH — James Edwin Reese, 74, passed away on Wednesday, July 16, 2014, surrounded by his family and friends at his home in Raymond, N.H. He was the son of John and Ruth Reese, born on Oct. 29, 1939 in Edensburg, Pa. James graduated from Central Cambria High School in Pennsylvania before proudly serving in the U.S. Army as a food inspector. His military service was followed by 31 years with the U.S. Department of Agriculture as a meat inspector. Mr. Reese was an avid outdoorsman and spent much of his time fishing, camping and hiking in the White Mountains. He became involved in the Boy Scouts and enjoyed passing on his vast knowledge of the wilderness to others. Throughout his retirement years he enjoyed woodworking, raising rabbits and working in his garden.

    Continued ...
    1 day 1 Photo
  • Velma J. Reid

    South Hampton, NH — Velma J. Reid, 80, died peacefully on July 17, 2014 at Exeter Hospital, surrounded by family. She was born in Haverhill, Mass. on June 8, 1934, the daughter of the late George C.W. and Alta I. (Kimball) Haynes. A graduate of Haverhill High School, Velma worked at Western Electric until she had children. For years, she was a devoted “stay-at-home” mom who raised her three children in a loving, nurturing environment. She later worked various manufacturing jobs until her retirement. After retiring, she volunteered her time at various organizations and was very involved at the East Kingston Community United Methodist Church as a member of the women’s guild, assisting with the holiday fair, and helping out wherever she could. She had a passion for animals, and would donate money, food, and blankets to the NH SPCA. She loved to sew and made a personalized quilt for every member of her family. She was also a member of the “Ugly Quilts” group, which made blankets and sleeping bags for the homeless using recycled fabric. She is survived by her husband, Clyde Reid of South Hampton, N.H.; daughter, Pam Eaton of Danville, N.H.; son and daughter-in-law, Douglas and Kim Reid of Raymond, N.H.; daughter, Shirley Reid of South Hampton, N.H.; two sisters, Gwen Stuart of Haverhill, and Norma Taplin of Dracut; four grandchildren, Cheryl and Marc Welch, and Kristen and Joshua Reid, and several nieces and nephews.

    Continued ...
    1 day 1 Photo
  • Carleen A. Knowlton, 80

    Danville, NH — Carleen A. (Rhoadhouse) Knowlton, 80, of Danville and formerly of Hampstead, died on July 7, 2014, at her home.

    Continued ...
    8 days 1 Photo
  • Miriam O. (Graham) Graham, 84

    Kingston, NH — Miriam O. (Graham) Graham, 84, a resident of Kingston since 2001, and former longtime resident of Grafton, Mass., died peacefully, surrounded by her family, on July 11, 2014, following a long illness.

    Continued ...
    8 days 1 Photo

Stocks