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Making the most of coresident data: Credible evidence on intergenerational mobility with sibling correlation

Author

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  • Ahsan, Md. Nazmul
  • Emran, M. Shahe
  • Jiang, Hanchen
  • Shilpi, Forhad

Abstract

Many available data sets are not used for estimating intergenerational mobility owing to concerns about sample truncation bias in coresident data. Using data from Bangladesh, Chile, Ghana, India, Indonesia, and Mexico, we report the first evidence that the bias in estimated sibling correlation, a broad measure of relative mobility, is small in coresident samples (4.30%), much smaller than that in intergenerational regression coefficient (10.25%). The low bias reflects offsetting effects of sample truncation on the numerator and denominator of the sibling correlation formula. Sibling correlation estimates from coresident samples preserve the correct cross-country ranking 90%–95% times. Our findings have far-reaching implications for researchers working on intergenerational mobility.

Suggested Citation

  • Ahsan, Md. Nazmul & Emran, M. Shahe & Jiang, Hanchen & Shilpi, Forhad, 2025. "Making the most of coresident data: Credible evidence on intergenerational mobility with sibling correlation," Journal of Development Economics, Elsevier, vol. 176(C).
    • Handle: RePEc:eee:deveco:v:176:y:2025:i:c:s0304387825000598
    DOI: 10.1016/j.jdeveco.2025.103508
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    Keywords

    Coresident data; Sample truncation bias; Intergenerational educational mobility; Sibling correlation; Intergenerational Regression Coefficient (IGRC); Intergenerational Correlation (IGC); Developing countries; Census; Demographic and Health Survey (DHS); Living Standards Measurement Study (LSMS);
    All these keywords.

    JEL classification:

    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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