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Educational Ambition, Marital Sorting, and Inequality / Frederik Almar, Benjamin Friedrich, Ana Reynoso, Bastian Schulz, Rune M. Vejlin.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Almar, Frederik.
Contributor:
Friedrich, Benjamin.
Reynoso, Ana.
Schulz, Bastian.
Vejlin, Rune M.
National Bureau of Economic Research.
Series:
Working Paper Series (National Bureau of Economic Research) no. w33683.
NBER working paper series no. w33683
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2025.
Summary:
This paper revisits the link between education-based marriage market sorting and income inequality. Leveraging Danish administrative data, we develop a novel categorization of "ambition types" that is based on starting wages and wage growth trajectories associated with detailed educational programs. We find a substantial increase in assortative matching by educational ambition over time, and the marriage market explains more than 40% of increasing inequality since 1980. In contrast, sorting trends are flat with the commonly-used educational level categorization. We conclude that the mapping from education to types matters crucially for conclusions about how education-based marriage market sorting contributes to rising income inequality.
Notes:
April 2025.
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