Marriage Networks, Nepotism, and Labor Market Outcomes in China

This paper considers the role of marriage in improving labor market outcomes through the expansion of an individual's networks. I focus on the impact of the relationship with the father-in-law on a young man's career using panel data from China. The identification strategy isolates the network effects related to a man's father-in-law by examining the post-marriage death of a father-in-law. The estimates suggest that the loss of the father-in-law translates into a decrease in a man's earnings of 7 percent.
JOUR
Wang, Shing-Yi
2013
American Economic Journal: Applied Economics
5
3
91-112
Appl Econ
10.1257/app.5.3.91
2135