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The Intergeneratinal Transmission of Poverty in Industrialized Countries

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  • Stephen P. Jenkins
  • Thomas Siedler

Abstract

This paper reviews research about the intergenerational transmission of poverty in industrialized countries. In order to make our survey manageable, we restrict attention to studies that consider the relationship between parental poverty (or 'income') during childhood and later-life outcomes; we do not explicitly consider the impact of other family background variables such as parental education. The general message is that growing up poor has a deleterious impact on later-life chances, and that this impact is not wholly explained by other factors that are themselves correlated with childhood poverty. At the same time, the studies also show that one should be cautious about drawing more specific conclusions. For example, the degree of intergenerational persistence appears to vary depending on the definition of the outcome variable, and different estimation methods provide a range of estimates. In addition, most of re-search about intergenerational links has been undertaken using US data, and it is not clear that any specific conclusions should carry over to another country with very different social norms and institutions including e.g. differences in labour market regulation, and in systems of edu-cation and social security benefits. However we conclude that, broadly speaking, the analyti-cal framework that has been used for high-income countries can also be applied to low-income countries.

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File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.59966.de/dp693.pdf
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Bibliographic Info

Paper provided by DIW Berlin, German Institute for Economic Research in its series Discussion Papers of DIW Berlin with number 693.

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Length: 25 + Anh. p.
Date of creation: 2007
Date of revision:
Handle: RePEc:diw:diwwpp:dp693

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Related research

Keywords: Poverty; intergenerational transmission; mobility; family background; income; industrialized countries;

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Cited by:
  1. repec:hal:journl:hal-00393322 is not listed on IDEAS
  2. Maribel Jiménez, 2011. "Un Análisis Empírico de las No Linealidades en la Movilidad Intergeneracional del Ingreso. El caso de la Argentina," CEDLAS, Working Papers, CEDLAS, Universidad Nacional de La Plata 0114, CEDLAS, Universidad Nacional de La Plata.
  3. Magda, Iga & Bukowski, Maciej & Buchholz, Sonia & Lewandowski, Piotr & Chrostek, Paweł & Kamińska, Agnieszka & Lis, Maciej & Potoczna, Monika & Myck, Michał & Kundera, Michał & Oczkowska, Monika, 2013. "Employment in Poland 2011 - Poverty and jobs," MPRA Paper 50185, University Library of Munich, Germany.
  4. Rainer Eppel & Thomas Leoni, 2011. "New Social Risks Affecting Children. A Survey of Risk Determinants and Child Outcomes in the EU," WIFO Working Papers, WIFO 386, WIFO.
  5. Maribel Jimenez & Monica Jimenez, 2009. "La Movilidad Intergeneracional del Ingreso: Evidencia para Argentina," CEDLAS, Working Papers, CEDLAS, Universidad Nacional de La Plata 0084, CEDLAS, Universidad Nacional de La Plata.

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