Grey Divorce and labour Supply

Sita Slavov and Chao Wei

Applied Economics Letters, 2023, vol. 30, issue 1, 66-79

Abstract: We use data from the Health and Retirement Study (HRS) to examine how labour supply changes around divorces that occur later in life. We find that the probability of work and hours worked increase for women, but decline for men, with evidence of an anticipation effect for men. We find weak evidence of a post-divorce decline in per-capita wealth and stronger evidence of a decline in per-capita non-own-wage income for women, but not for men. While not causal, these findings are consistent with income and possibly wealth effects driving the post-divorce increase in women’s labour supply.

Date: 2023
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DOI: 10.1080/13504851.2021.1975026

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