It has been found that premarital cohabitation is positively correlated with the likelihood of marital dissolution in the U.S. To reassess this link, I estimate proportional hazard models of marital dissolution for first marriages using pooled data from three surveys of the NSFG 1988, 1995, and 2002 and demonstrate that the positive relationship between premarital cohabitation and marital instability has weakened for more recent birth and marriage cohorts. Using multiple marital outcomes for a person to account for one source of unobserved heterogeneity, panel models suggest that cohabitation is not selective of individuals with higher risk of marital dissolution and may be a stabilizing factor for higher parity marriages.
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