’Til booze do us part: alcohol consumption and marital dissolution

Sanna Huikari, Marko Korhonen and Mikko Puhakka
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Mikko Puhakka: University of Oulu

Empirical Economics, 2016, vol. 51, issue 2, No 14, 852 pages

Abstract: Abstract This paper examines the relationship between alcohol consumption and divorces in 23 OECD countries from 1960 to 2010. We employ the differenced fixed-effect panel regression and panel vector error-correction models. We establish a significant unidirectional Granger causality from alcohol consumption to divorce rates across countries. Furthermore, we discover a long-run equilibrium relation between divorce rates and alcohol consumption. The results are robust, since they do not change even if we include other socioeconomic factors in the regression.

Keywords: Alcohol consumption; Divorce; Panel cointegration; Causality (search for similar items in EconPapers)
JEL-codes: C23 J10 J12 (search for similar items in EconPapers)
Date: 2016
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DOI: 10.1007/s00181-015-1017-9

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