Sexual orientation and household decision making. Same-sex couples' balance of power and labor supply choices

Abstract

This study estimates the effect of intra-household-bargaining on gay and lesbian couples' labor supplies, in order to determine how homosexual and heterosexual decision making compare, in a collective-household framework. Data from the 2000 US Census show that couples of all types exhibit a significant response to bargaining power shifts, as measured by age and non-labor-income differences between partners. Among gay, lesbian, and heterosexual cohabiting couples, a relatively young or rich partner has more bargaining power and supplies less labor, the opposite being true for his/her mate. Among married couples, the older spouse is instead more powerful, or the richer. No such patterns are found among same-sex roommates. © 2010 Elsevier B.V.