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Cross-National Estimates of the Intergenerational Mobility in Earnings

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  • Dean R. Lillard

Abstract

This paper examines the similarity in the association between earnings of sons and fathers in Germany and the United States. It relaxes the log-linear functional form imposed in most studies of the intergenerational earnings association. Theory implies the relationship between earnings of fathers and sons could be nonlinear, especially at the tails of the distribution of earnings of fathers. When a more flexible function form is fit to the data, the apparent similarity between Germany and the United States disappears. Relative to mobility in Germany, upward mobility is higher in the United States for sons with the poorest fathers and downward mobility is lower for sons with fathers with high earnings.

Suggested Citation

  • Dean R. Lillard, 2001. "Cross-National Estimates of the Intergenerational Mobility in Earnings," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 70(1), pages 51-58.
    • Handle: RePEc:diw:diwvjh:70-10-8
    DOI: 10.3790/vjh.70.1.51
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    Cited by:

    1. Daniel D. Schnitzlein, 2016. "A New Look at Intergenerational Mobility in Germany Compared to the U.S," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 62(4), pages 650-667, December.
    2. Iryna Kyzyma & Olaf Groh-Samberg, 2020. "Estimation of intergenerational mobility in small samples: evidence from German survey data," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 151(2), pages 621-643, September.
    3. Céline Lecavelier des Etangs-Levallois, 2017. "Overview of intergenerational earnings mobility in Germany," THEMA Working Papers 2017-11, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
    4. Schnitzlein, Daniel, 2008. "Verbunden über Generationen: Struktur und Ausmaß der intergenerationalen Einkommensmobilität in Deutschland (Structure and extent of intergenerational income mobility in Germany)," IAB-Discussion Paper 200801, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    5. Daniel D. Schnitzlein, 2008. "Verbunden über Generationen: Struktur und Ausmaß der intergenerationalen Einkommensmobilität in Deutschland," SOEPpapers on Multidisciplinary Panel Data Research 80, DIW Berlin, The German Socio-Economic Panel (SOEP).
    6. 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.
    7. Haile, Getinet Astatike, 2016. "Intergenerational Mobility in Income and Economic Status in Ethiopia," IZA Discussion Papers 10047, Institute of Labor Economics (IZA).
    8. Cornelissen Thomas & Jirjahn Uwe & Tsertsvadze Georgi, 2008. "Parental Background and Earnings: German Evidence on Direct and Indirect Relationships," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 228(5-6), pages 554-572, October.

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