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Fewer Siblings, More Wealth? Sibship Size and Wealth Attainment

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  • Philipp M. Lersch

    (Humboldt-Universität zu Berlin
    DIW Berlin
    University of Cologne)

Abstract

This study examines the association between sibship size and wealth in adulthood. The study draws on resource dilution theory and additionally discusses potentially wealth-enhancing consequences of having siblings. Data from the German Socio-Economic Panel Study (SOEP, N = 3502 individuals) are used to estimate multilevel regression models adjusted for concurrent parental wealth and other important confounders neglected in extant work. The main results of the current study show that additional siblings reduce wealth by about 38%. Parental wealth moderates the association so that sibship size is more negatively associated with filial wealth when parents are wealthier. Birth order position does not moderate the association between sibship size and wealth. The findings suggest that fertility in the family of origin has a systematic impact on wealth attainment and may contribute to population-level wealth inequalities independently from other socio-economic characteristics in families of origin such as parental wealth.

Suggested Citation

  • Philipp M. Lersch, 2019. "Fewer Siblings, More Wealth? Sibship Size and Wealth Attainment," European Journal of Population, Springer;European Association for Population Studies, vol. 35(5), pages 959-986, December.
    • Handle: RePEc:spr:eurpop:v:35:y:2019:i:5:d:10.1007_s10680-018-09512-x
    DOI: 10.1007/s10680-018-09512-x
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    Cited by:

    1. Lersch, Philipp M. & Grabka, Markus M. & Rüß, Kilian & Schröder, Carsten, 2021. "Wealth of children from single-parent families: Low levels and high inequality in Germany," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 31(5), pages 565-579.
    2. Philipp M. Lersch & Emanuela Struffolino & Agnese Vitali, 2022. "Wealth in Couples: Introduction to the Special Issue," European Journal of Population, Springer;European Association for Population Studies, vol. 38(4), pages 623-641, October.
    3. Zachary Winkle & Christiaan Monden, 2022. "Family Size and Parental Wealth: The Role of Family Transfers in Europe," European Journal of Population, Springer;European Association for Population Studies, vol. 38(3), pages 401-428, August.
    4. Ján Buleca & Nikola Šubová & Lenka Malièká, 2022. "The Relationship between Household Wealth and Financial Vulnerability in the Post-communist Countries of the Euro Area," Journal of Economics / Ekonomicky casopis, Institute of Economic Research, Slovak Academy of Sciences, vol. 70(7-8), pages 569-588, July.

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