Understanding the Effect of Parental Education and Financial Resources on the Intergenerational Transmission of Income

• 成果类型: Article; Early Access
• 署名作者: Sikhova, Aiday
• 署名单位: University System of Ohio; Ohio State University
• 刊物名称: JOURNAL OF LABOR ECONOMICS
• ISSN/ISSBN: 0734-306X
• DOI: 10.1086/720390
• 发表日期: 2023
• 关键词: outcomes evidence; family income; tax-reform; mobility; sweden; IMPACT; sons

摘要

There are two essential mechanisms in the canonical model of the transmission of income across generations-parents' financial resources and parental education. I provide novel empirical evidence to disentangle the significance of these two mechanisms in explaining the intergenerational transmission of income. Utilizing two reforms and administrative data from Sweden, I find that parents' financial resources amount to about 25% of the effect of parental education on children's income. Additionally, I show that parents' financial resources matter less for sons. Overall, my findings suggest a comparatively modest impact of parental financial resources on children's income.