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Published on: March 2, 2011
Home investment in husband's human capital and the wife's decision to work
Abstract:
"This paper explores the importance of husbands' career demands and assortative mating patterns for market-specific human capital on the decision of married women to work or not....[It] has three goals: (1) to derive, within the framework of a standard model of home production, a testable hypothesis concerning the effect of home investment in husband's human capital on a wife's decision to work; (2) to reconcile the theory with the existing empirical evidence by noting that issues of joint husband and wife decision-making cannot be viewed without considering the role of the marriage sorting market; and (3) to provide new empirical evidence that isolates the home investment effect from the sorting effect." Data are from 281 married couples in the United States.
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