Same-occupation spouses: preferences or search costs?

Married individuals match with spouses who share their occupation more frequently than should happen by chance if marriage markets are large frictionless search markets covering a particular geographic area. This suggests that either there is a preference for same-occupation matches or that search costs are lower within occupation. This paper uses 2008-2015 data from the American Community Survey to analyze same-occupation matching among a sample of recently married couples. Our empirical strategy compares the difference in wages between same-occupation husbands and different-occupation husbands across occupations with different percent male workers. Under a preference explanation, this difference should become less negative as the share of males in the occupation increases. Under a search cost explanation, this difference should become more negative as the share of males increases. Our results are consistent with the search cost explanation. Furthermore, using an occupation-specific index of workplace communication, we demonstrate that the results are most consistent with the search cost mechanism for occupations with a greater degree of workplace communication. Finally, we show that matching on field of degree for couples in which both spouses have a college degree is also consistent with the search cost explanation.