Child-Custody Reform and Marriage-Specific Investment in Children

Nunley, John M. and Seals, Alan (2009): Child-Custody Reform and Marriage-Specific Investment in Children.

Abstract

Research on child custody primarily focuses on the well-being of children following divorce. We extend this literature by examining how the prospect of joint child custody affects marriage-specific investment in children’s private-school education. Variation in the timing of joint-custody reforms across states proxies for the prospect of joint child custody and provides a natural experiment framework with which to examine marriage-specific investment in children. The probability of children’s private school attendance declines by 13 percent in states that adopt joint-custody laws. The effects of joint-custody reform are larger in states that have property-division laws that consistently favor one parent over the other. The results are largely robust for subsamples partitioned by socioeconomic status.

• Item Type: MPRA Paper
• Language: English
• Keywords: child-custody laws, household bargaining, marriage-specific investment, private school attendance, property-division laws
• Subjects: D - Microeconomics > D1 - Household Behavior and Family Economics > D13 - Household Production and Intrahousehold Allocation; J - Labor and Demographic Economics > J1 - Demographic Economics > J12 - Marriage ; Marital Dissolution ; Family Structure ; Domestic Abuse; K - Law and Economics > K3 - Other Substantive Areas of Law > K36 - Family and Personal Law

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