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Public Education and Intergenerational Economic Mobility

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  • Iyigun, Murat F

Abstract

This paper examines the role of public education in determining intergenerational economic mobility. It considers a model in which education is free and admission to schools is competitive. The results indicate that for mobility to increase during the process of development, the share of resources devoted to public education needs to be large enough to offset the relative advantage of having educated parents in academic attainment. Copyright 1999 by Economics Department of the University of Pennsylvania and the Osaka University Institute of Social and Economic Research Association.

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Bibliographic Info

Article provided by Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association in its journal International Economic Review.

Volume (Year): 40 (1999)
Issue (Month): 3 (August)
Pages: 697-710

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Handle: RePEc:ier:iecrev:v:40:y:1999:i:3:p:697-710

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References

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  1. Victor R. Fuchs & Diane M. Reklis, 1994. "Mathematical Achievement in Eighth Grade: Interstate and Racial Differences," NBER Working Papers 4784, National Bureau of Economic Research, Inc.
  2. Gradstein, Mark & Justman, Moshe, 1997. " Democratic Choice of an Education System: Implications for Growth and Income Distribution," Journal of Economic Growth, Springer, vol. 2(2), pages 169-83, July.
  3. Becker, Gary S & Tomes, Nigel, 1979. "An Equilibrium Theory of the Distribution of Income and Intergenerational Mobility," Journal of Political Economy, University of Chicago Press, vol. 87(6), pages 1153-89, December.
  4. Torvik, Ragnar, 1993. " Talent, Growth and Income Distribution," Scandinavian Journal of Economics, Wiley Blackwell, vol. 95(4), pages 581-96, December.
  5. Galor, Oded & Tsiddon, Daniel, 1997. "Technological Progress, Mobility, and Economic Growth," American Economic Review, American Economic Association, vol. 87(3), pages 363-82, June.
  6. Oded Galor & Joseph Zeira, 2013. "Income Distribution and Macroeconomics," Working Papers 2013-12, Brown University, Department of Economics.
  7. Murat F. Iyigun & Andrew T. Levin, 1998. "Macroeconomic implications of competitive college admissions," International Finance Discussion Papers 613, Board of Governors of the Federal Reserve System (U.S.).
  8. Loury, Glenn C, 1981. "Intergenerational Transfers and the Distribution of Earnings," Econometrica, Econometric Society, vol. 49(4), pages 843-67, June.
  9. Glomm, Gerhard & Ravikumar, B, 1992. "Public versus Private Investment in Human Capital Endogenous Growth and Income Inequality," Journal of Political Economy, University of Chicago Press, vol. 100(4), pages 818-34, August.
  10. Banerjee, Abhijit V & Newman, Andrew F, 1993. "Occupational Choice and the Process of Development," Journal of Political Economy, University of Chicago Press, vol. 101(2), pages 274-98, April.
  11. Charles M. Tiebout, 1956. "A Pure Theory of Local Expenditures," Journal of Political Economy, University of Chicago Press, vol. 64, pages 416.
  12. Ann L. Owen & David N. Weil, 1997. "Intergenerational Earnings Mobility, Inequality, and Growth," NBER Working Papers 6070, National Bureau of Economic Research, Inc.
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Cited by:
  1. Ryo Arawatari & Tetsuo Ono, 2009. "Inequality, Mobility and Redistributive Taxation in a Finance-constrained Economy," Discussion Papers in Economics and Business 09-28, Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP).
  2. Nakamura, Tamotsu & Murayama, Yu, 2011. "Education cost, intergenerational mobility, and income inequality," Economics Letters, Elsevier, vol. 112(3), pages 266-269, September.
  3. C. Fan & Jie Zhang, 2013. "Differential fertility and intergenerational mobility under private versus public education," Journal of Population Economics, Springer, vol. 26(3), pages 907-941, July.
  4. Eric A. Hanushek & Charles Ka Yui Leung & Kuzey Yilmaz, 2004. "Borrowing Constraints, College Aid, and Intergenerational Mobility," NBER Working Papers 10711, National Bureau of Economic Research, Inc.
  5. Ann L. Owen, 1995. "International trade and the accumulation of human capital," Finance and Economics Discussion Series 95-49, Board of Governors of the Federal Reserve System (U.S.).
  6. Levine, David I. & Jellema, Jon R., 2005. "Growth, Industrialization, and the Intergenerational Correlation of Advantage," Institute for Research on Labor and Employment, Working Paper Series qt2q74s1tg, Institute of Industrial Relations, UC Berkeley.
  7. James B. Davies & Jie Zhang & Jinli Zeng, 2003. "Intergenerational Mobility under Private vs. Public Education," Departmental Working Papers wp0313, National University of Singapore, Department of Economics.
  8. Haupt, Alexander, 2012. "The evolution of public spending on higher education in a democracy," European Journal of Political Economy, Elsevier, vol. 28(4), pages 557-573.

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