Family division in China's transitional economy

Using a longitudinal data-set (the China Health and Nutrition Survey) we explored the effect of various economic factors, including household wealth, employment sector, and involvement in a household business on the division of extended families in China's transitional economy. Results from event history analyses suggest that these economic factors act as either a dividing or a unifying force on the extended family. Household wealth reduces the risk of family division, but the effect is weaker for families in which parents have upper secondary education. In addition, an extended family is more likely to divide when married children work in the state sector. Further, the probability of family division is higher in families where daughters-in-law work in the state sector than in those with sons in this sector. Finally, involvement in a household business for married children increases family stability.