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Estimation of Opportunity Inequality in Brazil using Nonparametric Local Logistic Regression

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  • Erik Alencar de Figueiredo
  • Flavio Augusto Ziegelmann

Abstract

This article measured opportunity inequality in Brazil by combining a series of theoretical and empirical tools. The database was built using a two-sample instrumental variable (TSIV), developed by Angrist and Krueger. After that, the axiomatic approach put forward by O'Neill et al. was used, in which the estimation of children's income distribution function is conditional on their fathers' wages. The inference process was based on nonparametric local logistic regression. The results indicate that Brazil has a high level of opportunity inequality. In other words, in the context of intergenerational mobility, those whose fathers belong to lower income strata have to expend greater effort in order to attain a certain income level.

Suggested Citation

  • Erik Alencar de Figueiredo & Flavio Augusto Ziegelmann, 2010. "Estimation of Opportunity Inequality in Brazil using Nonparametric Local Logistic Regression," Journal of Development Studies, Taylor & Francis Journals, vol. 46(9), pages 1593-1606.
    • Handle: RePEc:taf:jdevst:v:46:y:2010:i:9:p:1593-1606
    DOI: 10.1080/00220388.2010.500661
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    References listed on IDEAS

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    1. Marc Fleurbaey & François Maniquet, 2006. "Compensation and responsibility," Working Papers halshs-00121367, HAL.
    2. Betts, Julian & Roemer, John E., 2005. "Equalizing Opportunity for Racial and Socioeconomic Groups in the United States Through Educational Finance Reform," University of California at San Diego, Economics Working Paper Series qt0gq4z4m9, Department of Economics, UC San Diego.
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    1. Mini-curso
      by Erik Figueiredo in Moral Hazard on 2011-03-04 03:25:00

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    1. Joseph Deutsch & Jacques Silber, 2011. "An ordinal approach to the study of intergenerational opportunities for standard of living: the case of Latin America," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 9(4), pages 579-604, December.
    2. Jaya Krishnakumar & Ricardo Nogales, 2020. "Public Policies and Equality of Opportunity for Wellbeing in Multiple Dimensions: A Theoretical Discussion and Evidence from Bolivia," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 149(1), pages 297-325, May.

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