The object of this research is to study directly the link between the expected consequences or economic opportunities at divorce and the decision to become divorced. The economic model which is utilized predicts that divorce will occur when the present value of opportunities after divorce exceeds the return to continuing the marriage. These opportunities, measured over time, include the economic value attached to remarriage, as well as income from employment, welfare, alimony and child support payments. The role of employment for women in influencing the probability of divorce, income after divorce, and prospects for remarriage is also explored. The empirical analysis utilizes data from the National Logitudinal Surveys. The work is done separately for young men and young women so that a comparison between the economic opportunities facing each group and the behavioral responses to these opportunities can be made.
