Economic abuse: A theory of intrahousehold sabotage

While research on domestic abuse in economics has to date almost exclusively focused on physical violence, research in other disciplines has documented that abusive males frequently also use sabotage tactics to interfere with the employability and job performance of the victim. This paper puts forward a theoretical framework that rationalizes why men may use labor market sabotage “instrumentally” to thwart their partners' training or career efforts. The model predicts a non-monotonic relationship between the gender wage gap and intrahousehold sabotage committed by abusive males. There are no one-size-fit-all solutions when it comes to reducing the incidence of economic abuse. Instead, specific measures have to be targeted at different types of households.

► We present a theoretical non-cooperative model of intrahousehold sabotage.
► Economic abuse by a male is directed at his partner’s labor market opportunities.
► The model predicts a non-monotonic relationships between the gender wage gap and economic abuse.
► Basic welfare policies are predicted to affect the distribution of economic abuse.