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The Intergenerational Earnings and Income Mobility of Canadian

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Author Info
Miles Corak (Statistics Canada)
Andrew Heisz (Statistics Canada)

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Abstract

Our objective is to obtain an accurate estimate of the degree of intergenerational income mobility in Canada. We use income tax information on about 400,000 father-son pairs, and find intergenerational earnings elasticities to be about 0.2. Earnings mobility tends to be slightly greater than income mobility, but non- parametric techniques uncover significant non-linearities in both of these relationships. Intergenerational earnings mobilty is greater at the lower end of the income distribution than at the upper end, and displays an inverted V-shape elsewhere. Intergenerational income mobility follows roughly the same pattern, but is much lower at the top of the income distribution.

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File URL: http://129.3.20.41/eps/lab/papers/9808/9808001.pdf
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Publisher Info
Paper provided by EconWPA in its series Labor and Demography with number 9808001.

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Length: 49 pages
Date of creation: 10 Aug 1998
Date of revision:
Handle: RePEc:wpa:wuwpla:9808001

Note: Type of Document - pdf; prepared on IBM PC - PC; to print on HP; pages: 49 ; figures: included. Paper presented to the 1998 meetings of the SOLE
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Related research
Keywords: Intergenerational Income Mobility; Income Distribution; Nonparametric regression;

Other versions of this item:

Find related papers by JEL classification:
D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
J62 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Job, Occupational and Intergenerational Mobility; Promotion

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References listed on IDEAS
Please 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.:
  1. Gustafsson, Bjorn, 1994. "The Degree and Pattern of Income Immobility in Sweden," Review of Income and Wealth, Blackwell Publishing, vol. 40(1), pages 67-86, March.
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  11. John Shea, 1997. "Does Parents' Money Matter?," NBER Working Papers 6026, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  12. Solon, Gary, 1999. "Intergenerational mobility in the labor market," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 29, pages 1761-1800 Elsevier. [Downloadable!] (restricted)
  13. Peters, H Elizabeth, 1992. "Patterns of Intergenerational Mobility in Income and Earnings," The Review of Economics and Statistics, MIT Press, vol. 74(3), pages 456-66, August. [Downloadable!] (restricted)
  14. Behrman, Jere R & Taubman, Paul, 1990. "The Intergenerational Correlation between Children's Adult Earnings and Their Parents' Income: Result from the Michigan Panel Survey of Income Dynamics," Review of Income and Wealth, Blackwell Publishing, vol. 36(2), pages 115-27, June.
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    Other versions:
  18. Durlauf, Steven N, 1996. " A Theory of Persistent Income Inequality," Journal of Economic Growth, Springer, vol. 1(1), pages 75-93, March.
    Other versions:
Full references

Cited by:
(explanations, Please 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.)

  1. Diego Restuccia & Carlos Urrutia, 2002. "Intergenerational Persistence of Earnings: The Role of Early and College Education," Working Papers diegor-02-03, University of Toronto, Department of Economics. [Downloadable!]
    Other versions:
  2. Mason, Patrick, 2007. "Intergenerational mobility and interraical inequality:the return to family values," MPRA Paper 11327, University Library of Munich, Germany. [Downloadable!]
  3. Donal O'Neill & Olive Sweetman & Dirk van de Gaer, 2002. "Consequences of Specification Error for Distributional Analysis with an Application to Intergenerational Mobility," Economics, Finance and Accounting Department Working Paper Series n1110102, Department of Economics, Finance and Accounting, National University of Ireland - Maynooth. [Downloadable!]
    Other versions:
  4. Nilsson, William, 2005. "Equality of Opportunity, Heterogeneity and Poverty," UmeÃ¥ Economic Studies 652, Umeå University, Department of Economics. [Downloadable!]
  5. Nilsson, William, 2005. "Opportunities, Preferences and Incomes," UmeÃ¥ Economic Studies 649, Umeå University, Department of Economics. [Downloadable!]
  6. Donal O'Neill & Olive Sweetman & Dirk van de gaer, 1999. "Equiality of Opportunity and Kernel Density Estimation: An Application to Intergenerational Mobility," Economics, Finance and Accounting Department Working Paper Series n950999, Department of Economics, Finance and Accounting, National University of Ireland - Maynooth. [Downloadable!]
  7. Philip Oreopoulos, 2006. "The Long-Run Consequences of Living in a Poor Neighborhood," Berkeley Program on Housing and Urban Policy, Working Paper Series 1041, Berkeley Program on Housing and Urban Policy. [Downloadable!]
    Other versions:
  8. Espen Bratberg & Øivind Anti Nilsen & Kjell Vaage, 2007. "Job Losses and Child Outcomes," IZA Discussion Papers 2895, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  9. Aydemir, Abdurrahman & Chen, Wen-Hao & Corak, Miles, 2005. "Mobilité intergénérationnelle des gains chez les enfants des immigrants au Canada," Direction des études analytiques : documents de recherche 2005267f, Statistics Canada, Direction des études analytiques. [Downloadable!]
  10. Bratberg, Espen & Nilsen, Øivind A. & Vaage, Kjell, 2003. "Assessing Changes in Intergenerational Earnings Mobility," IZA Discussion Papers 797, Institute for the Study of Labor (IZA). [Downloadable!]
  11. Lindahl, Lena, 2002. "Do birth order and family size matter for intergenerational income mobility? Evidence from Sweden," Working Paper Series 5/2002, Swedish Institute for Social Research. [Downloadable!]
  12. Bratberg, Espen & Nilsen, Øivind A. & Vaage, Kjell, 2005. "Intergenerational Mobility: Trends Across the Earnings Distribution," IZA Discussion Papers 1517, Institute for the Study of Labor (IZA). [Downloadable!]
  13. Nguyen, Anh & Getinet, Haile, 2003. "Intergenerational mobility in educational and occupational status: evidence from the U.S," MPRA Paper 1383, University Library of Munich, Germany. [Downloadable!]
    Other versions:
  14. Blanden, Joanne, 2005. "Love and Money: Intergenerational Mobility and Marital Matching on Parental Income," Analytical Studies Branch Research Paper Series 2005272e, Statistics Canada, Analytical Studies Branch. [Downloadable!]
  15. Samuel Bowles & Herbert Gintis, 2002. "The Inheritance of Inequality," Journal of Economic Perspectives, American Economic Association, vol. 16(3), pages 3-30, Summer. [Downloadable!] (restricted)
  16. Donal O’Neill & Olive Sweetman & Dirk Van de gaer, 2007. "The effects of measurement error and omitted variables when using transition matrices to measure intergenerational mobility," Journal of Economic Inequality, Springer, vol. 5(2), pages 159-178, August. [Downloadable!] (restricted)
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