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Inequality of Educational Opportunity? Schools as Mediators of the Intergenerational Transmission of Income

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  • Jesse Rothstein

Abstract

Intergenerational income transmission varies across commuting zones (CZs). I investigate whether children’s educational outcomes help to explain this variation. Differences among CZs in the relationship between parental income and children’s human capital explain only one-ninth of the variation in income transmission. A similar share is explained by differences in the return to human capital. One-third reflects earnings differences not mediated by human capital, and 40% reflects differences in marriage patterns. Intergenerational mobility appears to reflect job networks and the structure of local labor and marriage markets more than it does the education system.

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  • Jesse Rothstein, 2019. "Inequality of Educational Opportunity? Schools as Mediators of the Intergenerational Transmission of Income," Journal of Labor Economics, University of Chicago Press, vol. 37(S1), pages 85-123.
    • Handle: RePEc:ucp:jlabec:doi:10.1086/700888
    DOI: 10.1086/700888
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    More about this item

    JEL classification:

    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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