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Intergenerational Wealth Elasticity in Japan

Author

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  • Kohei Kubota

    (Yamagata University)

Abstract

This study estimates the intergenerational wealth elasticity using original Japanese survey data and assesses factors explaining the intergenerational wealth elasticity, such as income, educational level, bequests and preferences. The age-adjusted elasticity of child wealth with respect to parental wealth ranges from 0.266 to 0.367, and transition matrices indicate that the intergenerational transmission of wealth persists more strongly in the tails of the distributions. The correlation between parent and child wealth mainly stems from income, education and bequests, which jointly constitute 63.9% of the wealth elasticity.

Suggested Citation

  • Kohei Kubota, 2017. "Intergenerational Wealth Elasticity in Japan," The Japanese Economic Review, Springer, vol. 68(4), pages 470-496, December.
    • Handle: RePEc:spr:jecrev:v:68:y:2017:i:4:d:10.1111_jere.12142
    DOI: 10.1111/jere.12142
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    Cited by:

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    2. Zhi‐xiao Jia, 2023. "Birth order and intergenerational income mobility in Japan: Is the first‐born child different?," Asian Economic Journal, East Asian Economic Association, vol. 37(2), pages 210-231, June.
    3. Zhi-xiao Jia, 2022. "Regular employment and intergenerational income mobility in Japan," Eurasian Economic Review, Springer;Eurasia Business and Economics Society, vol. 12(2), pages 187-212, June.

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    More about this item

    Keywords

    D12; D31; D64; J62;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion

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