Answer to Question #235235 in Macroeconomics for Natsai

Question

QUESTION 2

The term “marriage markets” was first coined by Becker (1961), the Economics Nobel Prize recipient of 1992, and has since gained ground with most microeconomists.

(a) Explain why the correct analogy for the phrase “marriage market” is that of the labor market and not “husbands buying wives”? (3 marks )

(b) Discuss factors that may cause marriage dissolution. (12mars)

(c) Discuss how marriage dissolution or anticipation of marriage dissolution could impact female labour supply. (10marks ) 

Answer 1

a) This is because marriage involves agreement and partnership which are the main aspects within labor market.

b) When the communication is poor, both parties cannot grow up and continue together.

When partners do not stay committed to their responsibility, this may result to lack of unity within the marriage, which leads to dissolution.

c) Dissolution of marriage creates disbelief within the female labor market. This may bring up fear within women, having in mind that their marriage may end up to dissolution. For that case, the supply will reduce.