Marriage, Fertility, and Cultural Integration in Italy

We study cultural integration as an equilibrium outcome of marital matching along cultural and education lines and intrahousehold investment decisions regarding fertility and cultural socialization. Our model allows us to identify cultural-ethnic-group-specific investment parameters and spousal preferences for marital matching. Structural estimates reveal a strong demand to preserve cultural identity on the part of immigrants and limited acceptance of the immigrants' cultural diversity on the part of natives. Furthermore, these estimates reveal a substantial heterogeneity of the parental value of children's education across cultures. Nonetheless, our estimates simulate substantial—though heterogeneous—cultural integration rates across immigrant groups.