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Nonlinearity in intergenerational income transmission: A cross-country analysis

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  • Berrittella, Maria
  • Dardanoni, Valentino

Abstract

The aim of this paper is to explore nonlinearity in intergenerational income transmission. We use a set of occupational tables in different countries to test nonlinearity. We also empirically address how policy variables can affect nonlinearity. Our findings suggest that concavity is supported in those societies with less credit constraints, but with more poverty and income inequality; education has an increasing effect on convexity.

Suggested Citation

  • Berrittella, Maria & Dardanoni, Valentino, 2016. "Nonlinearity in intergenerational income transmission: A cross-country analysis," Economic Analysis and Policy, Elsevier, vol. 52(C), pages 1-10.
    • Handle: RePEc:eee:ecanpo:v:52:y:2016:i:c:p:1-10
    DOI: 10.1016/j.eap.2016.06.005
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    More about this item

    Keywords

    Becker–Tomes model; Credit constraints; Education; Income inequality; Nonlinearity;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion

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