We study the rise in marriages between residents of HK and China following the handover of HK to China in 1997. Cross-boundary marriages accounted for almost half the marriages registered in HK in 2006. Because of large differences in male income between China and HK, marriages of HK men with...

This paper investigates the implications of social rewards on the allocation of talent in society and consequently on the process of economic growth. We consider two sources of heterogeneity among workers: nonwage income and innate ability. A greater emphasis on status may induce the "wrong"...