Correlation of Brothers' Earnings and Intergenerational Transmission

• 成果类型: Article
• 署名作者: Bingley, Paul; Cappellari, Lorenzo
• 署名单位: Catholic University of the Sacred Heart
• 刊物名称: REVIEW OF ECONOMICS AND STATISTICS
• ISSN/ISSBN: 0034-6535
• DOI: 10.1162/rest_a_00753
• 发表日期: 2019-05
• 页码: 370-383
• 关键词: life-cycle; covariance structure; personal income; UNITED-STATES; FAMILY; INEQUALITY; mobility; GROWTH; variance; profiles

摘要

We estimate sibling correlations and intergenerational transmission of life cycle earnings within a unified framework that nests previous models. Using data on the Danish population of father/first-son/second-son triads we find that intergenerational effects account for 72% of sibling correlations. This share is higher than in previous studies because we allow for heterogeneous intergenerational transmission between families. For the first time, we show significant U-shaped life cycle variation in sibling correlations, consistent with human capital models. Estimates of intergenerational mobility are of greater value than previously thought for understanding the role of the family in explaining earnings inequality.