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Educational Attainment and Family Background

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  • Aakvik, Arild

    ()
    (University of Bergen, Department of Economics)

  • Salvanes, Kjell Gunnar

    ()
    (Department of Economics, Norwegian School of Economics and Business)

  • Vaage, Kjell

    ()
    (University of Bergen, Department of Economics)

Abstract

This paper analyses the effect of aspects of family background, such as family income and parental education, on the educational attainment of persons born from 1967 to 1972. Family income is measured at different periods of a child’s life to separate longterm versus short-term effects of family income on educational choices. We find that permanent income matters to a certain degree, and that family income when the child is 0-6 years old is an important explanatory variable for educational attainment later in a child’s life. We find that short-term credit constraints have only a small effect on educational attainment. Long term factors, such as permanent family income and parental education are much more important for educational attainment than are shortterm credit constraints. Public interventions to alleviate the effects of family background should thus also be targeted at a child's early years, the shaping period for the cognitive and non-cognitive skills important later in life.

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Bibliographic Info

Paper provided by University of Bergen, Department of Economics in its series Working Papers in Economics with number 10/05.

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Length: 15 pages
Date of creation: 05 Apr 2005
Date of revision:
Handle: RePEc:hhs:bergec:2005_010

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Postal: Institutt for økonomi, Universitetet i Bergen, Postboks 7802, 5020 Bergen, Norway
Phone: (+47)55589200
Fax: (+47)55589210
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Web page: http://www.uib.no/econ/en
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Keywords: credit constraints; education; Norway; family background;

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References

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  1. Black, Sandra E. & Devereux, Paul J. & Salvanes, Kjell G., 2004. "The More the Merrier? The Effect of Family Composition on Children's Education," IZA Discussion Papers 1269, Institute for the Study of Labor (IZA).
  2. Carneiro, Pedro & Heckman, James J., 2002. "The Evidence on Credit Constraints in Post-Secondary Schooling," IZA Discussion Papers 518, Institute for the Study of Labor (IZA).
  3. Raaum, Oddbjørn & Salvanes, Kjell G. & Sørensen, Erik Ø., 2003. "The Impact of a Primary School Reform on Educational Stratification: A Norwegian Study of Neighbour and School Mate Correlations," IZA Discussion Papers 953, Institute for the Study of Labor (IZA).
  4. Aakvik, Arild & Salvanes, Kjell G & Vaage, Kjell, 2003. "Measuring Heterogeneity in the Returns to Education in Norway Using Educational Reforms," CEPR Discussion Papers 4088, C.E.P.R. Discussion Papers.
  5. Carneiro, Pedro & Heckman, James J., 2003. "Human Capital Policy," IZA Discussion Papers 821, Institute for the Study of Labor (IZA).
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Citations

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Cited by:
  1. Ritzen, Jo, 2011. "A renaissance for social mobility and its significance for the bridge towards postsecondary education," MERIT Working Papers 057, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
  2. Michael Fertig & Marcus Tamm, 2007. "Always Poor or Never Poor and Nothing in Between? Duration of Child Poverty in Germany," Working Papers 59, ECINEQ, Society for the Study of Economic Inequality.
  3. Lefgren, Lars & Lindquist, Matthew & Sims, David, 2009. "Rich Dad, Smart Dad: Decomposing the Intergenerational Transmission of Income," Research Papers in Economics 2009:19, Stockholm University, Department of Economics.
  4. Raaum, Oddbjørn & Bratsberg, Bernt & Røed, Knut & Österbacka , Eva & Eriksson, Tor & Jäntti, Markus & Naylor, Robin, 2007. "Marital Sorting, Household Labor Supply, and Intergenerational Earnings Mobility across Countries," Memorandum 17/2007, Oslo University, Department of Economics.
  5. Martin Ryan & Siobhan McCarthy & Carol Newman, 2007. "Household Characteristics of Higher Education Participants," Working Papers 200702, Geary Institute, University College Dublin.
  6. Maria Knoth Humlum, 2008. "Timing of Family Income, Borrowing Constraints and Child Achievement," Economics Working Papers 2008-12, School of Economics and Management, University of Aarhus.
  7. Monstad, Karin & Propper, Carol & Salvanes, Kjell G, 2011. "Is teenage motherhood contagious? Evidence from a Natural Experiment," CEPR Discussion Papers 8505, C.E.P.R. Discussion Papers.
  8. Beraldo, Sergio & Montolio, Daniel & Turati, Gilberto, 2009. "Healthy, educated and wealthy: A primer on the impact of public and private welfare expenditures on economic growth," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 38(6), pages 946-956, December.

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