published in: Journal of Population Economics, 2003, 16 (3), 399–422
In recent years the increase in the divorce rate in many advanced countries and the
predominance of female-headed families among the poor has generated much interest in the
relationship between divorce and the welfare of mothers and children. In this paper I will
review a small body of economic literature which has been recently developed in order to
analyze the economic consequence of divorce on the welfare of fathers, mothers and
children under alternative behavioral assumptions. Important economic and econometric
issues arise from an analysis of welfare in non intact households as compared with intact
households. In particular the focus is on the role that institutions play in post-divorce
arrangements and important implications concerning policies for child support, custody, and
visitation.
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