Family income and children's education: Using the Norwegian oil boom as a natural experiment
Abstract
Parental income is positively correlated with children?s educational attainment. This paper addresses the causality of this observed link. We have a unique data set for Norwegians born in the period from 1968-1973, with a measure of permanent family income from the children are 0-20 years old. This enables us to look at the long term e¤ect of family income on children's educational attainment. The Norwegian oil shock in the 1970s and 1980s is used as an instrument, since this - in some regions, but not in others - implied a general increase in income that was unrelated to education. This variation in income is used to estimate the causal e¤ect of family income on children's educational attainment. We find no causal relationship between family in- come and children's educational attainment. This result is robust to different specification tests.Download Info
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Paper provided by University of Bergen, Department of Economics in its series Working Papers in Economics with number 03/07.Length: 32 pages
Date of creation: 24 Jan 2007
Date of revision:
Handle: RePEc:hhs:bergec:2007_003
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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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Related research
Keywords: Mobility; Instrumental Variables; Income and Education;Other versions of this item:
- Løken, Katrine V., 2010. "Family income and children's education: Using the Norwegian oil boom as a natural experiment," Labour Economics, Elsevier, vol. 17(1), pages 118-129, January.
- I12 - Health, Education, and Welfare - - Health - - - Health Production
- J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
- J62 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Job, Occupational and Intergenerational Mobility; Promotion
References
References listed on IDEASPlease report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Markus Jäntti & Eva Österbacka & Oddbjörn Raaum & Tor Eriksson & Anders Björklund, 2002.
"Brother correlations in earnings in Denmark, Finland, Norway and Sweden compared to the United States,"
Journal of Population Economics,
Springer, vol. 15(4), pages 757-772.
- Björklund, Anders & Eriksson, Tor & Jäntti, Markus & Raaum, Oddbjørn & Österbacka, Eva, 2000. "Brother Correlations in Earnings in Denmark, Finland, Norway and Sweden Compared to the United States," IZA Discussion Papers 158, Institute for the Study of Labor (IZA).
Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Chevalier, Arnaud & Harmon, Colm P. & O'Sullivan, Vincent & Walker, Ian, 2005.
"The Impact of Parental Income and Education on the Schooling of Their Children,"
IZA Discussion Papers
1496, Institute for the Study of Labor (IZA).
- Arnaud Chevalier & Colm Harmon & Vincent O'Sullivan & Ian Walker, 2005. "The impact of parental income and education on the schooling of their children," IFS Working Papers W05/05, Institute for Fiscal Studies.
- A Chevalier & C Harmon & V O'Sullivan & Ian Walker, 2010. "The Impact of Parental Income and Education on the Schooling of their Children," Working Papers 610852, Lancaster University Management School, Economics Department.
- Arnaud Chevalier & Colm Harmon & Vincent O'Sullivan & Ian Walker, 2010. "The Impact of Parental Income and Education on the Schooling of their Children," Working Papers 201032, Geary Institute, University College Dublin.
- Arnaud Chevalier & Colm Harmon & Vincent O'Sullivan & Ian Walker, 2011. "The Impact of Parental Earnings and Education on the Schooling of Children," Working Papers 201112, Geary Institute, University College Dublin.
- Akee, Randall K. Q. & Copeland, William & Keeler, Gordon & Angold, Adrian & Costello, Jane E., 2008. "Parents’ Incomes and Children’s Outcomes: A Quasi-Experiment," IZA Discussion Papers 3520, Institute for the Study of Labor (IZA).
- Black, Sandra E. & Devereux, Paul J., 2011.
"Recent Developments in Intergenerational Mobility,"
Handbook of Labor Economics,
Elsevier.
- Black, Sandra & Devereux, Paul J., 2010. "Recent Developments in Intergenerational Mobility," CEPR Discussion Papers 7786, C.E.P.R. Discussion Papers.
- Sandra E. Black & Paul J. Devereux, 2010. "Recent Developments in Intergenerational Mobility," NBER Working Papers 15889, National Bureau of Economic Research, Inc.
- Black, Sandra E. & Devereux, Paul J., 2010. "Recent Developments in Intergenerational Mobility," IZA Discussion Papers 4866, Institute for the Study of Labor (IZA).
- Sandra E. Black & Paul J. Devereux, 2010. "Recent Developments in Intergenerational Mobility," Working Papers 201025, Geary Institute, University College Dublin.
- Sandra E Black & Paul J Devereux, 2010. "Recent Developments in Intergenerational Mobility," Working Papers 201010, School Of Economics, University College Dublin.
- Del Boca, Daniela & Flinn, Christopher & Wiswall, Matthew, 2010.
"Household Choices and Child Development,"
IZA Discussion Papers
5155, Institute for the Study of Labor (IZA).
- Daniela Del Boca & Christopher Flinn & Matthew Wiswall, 2010. "Household Choices and Child Development," Carlo Alberto Notebooks 149, Collegio Carlo Alberto.
- Daniela Del Boca & Christopher Flinn & Matthew Wiswall, 2010. "Household Choices and Child Development," Working Papers 2011-039, Human Capital and Economic Opportunity Working Group.
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