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We present an equilibrium model with inter-linked frictional labour and marriage markets. Women's flow value of being single is treated as given, and it captures returns from employment. Single unemployed men conduct a so-called constrained sequential job search, and can choose to improve their...
Persistent link: https://www.econbiz.de/10012119529
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Without assuming innate differences between genders, we show that the simultaneous interaction between frictional labor and marriage markets can result in a "gendered" equilibrium which is consistent with observed empirical regularities: men earn more than women, and their attachment to the...
Persistent link: https://www.econbiz.de/10014358631