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Property Division upon Divorce and Household Decisions

  • Yuting HUANG
  • , Juan PANTANO
  • , Han YE
  • , Junjian YI

Research output: Journal PublicationsJournal Article (refereed)peer-review

Abstract

Before 2011, Chinese married couples expected equal-division of housing property upon divorce even when the home was titled only under the husband’s name and bought by the husband before marriage. In 2011, a Supreme Court decision led to enforcement of a title-based regime, only for housing property purchased before marriage and brought into the marriage by one of the spouses. We investigate the effects of this legal change using a difference-in-differences design. We find that this legal change weakened wives' intrahousehold bargaining power, leading to reductions in their leisure, increased consumption of male-favored goods, and reduced investment in children.

Original languageEnglish
Pages (from-to)532-560
Number of pages29
JournalJournal of Human Resources
Volume58
Issue number2
Early online date13 Apr 2021
DOIs
Publication statusPublished - 1 Mar 2023

Funding

Junjian acknowledges financial support from Peking University (No. 7100603788) and the National Natural Science Foundation of China (No. 8206100449).

Keywords

  • Household behavior
  • Intergenerational investment
  • Intrahousehold bargaining power
  • Marital property law

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