Will Women Save more than Men? A Theoretical Model of Savings and Marriage

Shoshana Amyra Grossbard, Alfredo Pereira and Shoshana Grossbard
Authors registered in the RePEc Author Service: Shoshana Grossbard

No 3146, CESifo Working Paper Series from CESifo

Abstract: This paper presents an inter-temporal model of individual behavior with uncertainty about marriage and divorce and which accommodates the possible presence of economies or diseconomies of scale from marriage. We show that a scenario of higher marriage rates and higher divorce rates will be associated with higher savings rates in the presence of economies of marriage and with lower savings rates in the presence of diseconomies of marriage. In the context of traditional gender roles, this implies higher saving rates by young men and lower saving rates by young women than in less traditional countries, the opposite being the case with saving rates of married women relative to those of married men. We establish the relevance of traditional gender roles and marital status to understanding cross-country variation in gender differentials in savings behavior.

Keywords: savings behavior; marriage; divorce; economics of marriage; gender roles (search for similar items in EconPapers)
JEL-codes: E21 J12 (search for similar items in EconPapers)
Date: 2010
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

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