Canonical Correlation and Assortative Matching: A Remark
Luxembourg Institute of Socio-Economic Research (LISER) Working Paper Series 2014-10
16 Pages Posted: 8 Jun 2015
Date Written: July 11, 2014
Abstract
In the context of the Beckerian theory of marriage, where men and women match on a single-dimensional index that is the weighted sum of their respective multivariate attributes, many papers in the literature have used linear canonical correlation, and related techniques, in order to estimate these weights. We argue that this estimation technique is inconsistent and suggest some solutions.
Keywords: matching, marriage, assignment, assortative matching, canonical correlation.
JEL Classification: C78, D61, C13
Suggested Citation: Suggested Citation
Dupuy, Arnaud and Galichon, Alfred, Canonical Correlation and Assortative Matching: A Remark (July 11, 2014). Luxembourg Institute of Socio-Economic Research (LISER) Working Paper Series 2014-10, Available at SSRN: https://ssrn.com/abstract=2614919 or http://dx.doi.org/10.2139/ssrn.2614919
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