We propose a theoretical explanation for the so-called "beauty premium". Our explanation is based entirely on search frictions and the fact that physical appearance plays an important role in attracting a marriage partner. We analyse the interaction between frictional labour and marriage markets...

The empirical literature addressing links between the labor and the marriage markets is numerous and varied. Despite this, the theoretical (equilibrium) literature that explicitly links the two markets is less developed, particularly so with frictional markets. We build an equilibrium search...

We present an equilibrium model with inter-linked labour and marriage markets, and argue that search frictions play an important role in explaining the male marriage premium. If men are viewed as bread-winners within households, this expectation affects their job search behaviour, which in turn...

Using an equilibrium model of inter-linked frictional labour and marriage markets, we establish the existence of male marriage premium within a given productivity group, as well as a clear ranking of premia across different groups. We find supporting evidence using Chinese data.