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Intergenerational Mobility and Entrepreneurship in Uruguay

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  • Nestor Gandelam
  • Virginia Robano

Abstract

We estimate the relationship between parents' education and income and children's schooling in Uruguay (1982-2010), interpreting this as a measure of intergenerational social mobility. Using three methodologies we report that such mobility has decreased over time. Improvements in education in the 1980s and 1990s were unevenly distributed. Computing an index of inequality of opportunity, we show that for mandatory education, this has remained constant, and for non-mandatory education, the increasing trend in inequality observed during the 1990s stagnated in the early 2000s. Finally, using instrumental variables we find that entrepreneurship is associated with greater social mobility.

Suggested Citation

  • Nestor Gandelam & Virginia Robano, 2014. "Intergenerational Mobility and Entrepreneurship in Uruguay," Latin American Journal of Economics-formerly Cuadernos de Economía, Instituto de Economía. Pontificia Universidad Católica de Chile., vol. 51(2), pages 195-226, November.
    • Handle: RePEc:ioe:cuadec:v:51:y:2014:i:2:p:195-226
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    1. Viviane M. R. Azevedo & Cesar P. Bouillon, 2010. "Intergenerational Social Mobility in Latin America: A review of existing evidence," Revista de Analisis Economico – Economic Analysis Review, Universidad Alberto Hurtado/School of Economics and Business, vol. 25(2), pages 7-42, Diciembre.
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    11. Daniel Bukstein & Nestor Gandelman, 2014. "Intra-Generational Social Mobility and Entrepreneurship in Uruguay," Latin American Journal of Economics-formerly Cuadernos de Economía, Instituto de Economía. Pontificia Universidad Católica de Chile., vol. 51(2), pages 227-245, November.
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    Cited by:

    1. Daniel Bukstein & Nestor Gandelman, 2014. "Intra-Generational Social Mobility and Entrepreneurship in Uruguay," Latin American Journal of Economics-formerly Cuadernos de Economía, Instituto de Economía. Pontificia Universidad Católica de Chile., vol. 51(2), pages 227-245, November.
    2. Francesca Castellani & Eduardo Lora, 2014. "Is Entrepreneurship a Channel of Social Mobility in Latin America?," Latin American Journal of Economics-formerly Cuadernos de Economía, Instituto de Economía. Pontificia Universidad Católica de Chile., vol. 51(2), pages 179-194, November.
    3. Bukstein Daniel & Gandelman Nestor, 2018. "Cohort, Age and Business Cycle Effects in Entrepreneurship in Latin America," Entrepreneurship Research Journal, De Gruyter, vol. 8(3), pages 1-13, July.
    4. Martín Leites & Xavier Ramos & Cecilia Rodríguez & Vilá Joan, 2022. "Intergenerational mobility along the income distribution: estimates using administrative data for a developing country," Documentos de Trabajo (working papers) 22-05, Instituto de Economía - IECON.
    5. Christian Daude & Virginia Robano, 2015. "On intergenerational (im)mobility in Latin America," Latin American Economic Review, Springer;Centro de Investigaciòn y Docencia Económica (CIDE), vol. 24(1), pages 1-29, December.

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    More about this item

    Keywords

    intergenerational social mobility; entrepreneurship; inequality of opportunity;
    All these keywords.

    JEL classification:

    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship

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