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Marriage and Earnings

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That married men earn more than unmarried men is now a fairly well established fact. However, the source of this earnings premium remains debatable. In this paper, the authors use various econometric techniques to shed more light on the controversy, and find that much of the observed differential can be traced to the correlation between marital status and some unobservable individual effects. In other words, married men who earn more on average than single men would have earned more even if they were not married.

Suggested citation: Cornwell, Christopher, and Peter Rupert. “Marriage and Earnings,” Federal Reserve Bank of Cleveland, Economic Review, vol. 31, no. 4, pp. 10-20, 12.01.1995.

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