Intergenerational Income Mobility in a Less-Developed, High-Inequality Context: The Case of Chile
AbstractThis paper studies the magnitude of intergenerational income mobility in less developed, high inequality Chile. Following a known methodology where fathers' incomes are predicted from standard income determinants such as education and occupation, we get comparable estimates of the intergenerational income elasticity in the range of 0.57 to 0.74 and 0.63 to 0.76 for ages 25-40 and 31-40, respectively. These values place Chile at the high end of the available international evidence. Considering Chile's high income inequality, this finding supports the hypothesis proposed in the literature of an inverse relationship between cross-sectional income inequality and intergenerational income mobility.
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Bibliographic InfoArticle provided by De Gruyter in its journal The B.E. Journal of Economic Analysis & Policy.
Volume (Year): 10 (2010)
Issue (Month): 1 (April)
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Web page: http://www.degruyter.com
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- Quheng Deng & Björn Gustafsson & Shi Li, 2013.
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- Sajid Amin Javed & Mohammad Irfan, 2012. "Intergenerational Mobility: Evidence from Pakistan Panel Household Survey," Poverty and Social Dynamics Paper Series 2012:05, Pakistan Institute of Development Economics.
- Piraino, Patrizio, 2014. "Intergenerational earnings mobility and equality of opportunity in South Africa," SALDRU Working Papers 131, Southern Africa Labour and Development Research Unit, University of Cape Town.
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