Social Mobility in the United States as a Markov Process
Previous research on intergenerational mobility in income, occupation, or social class as a Markov process typically uses regression models to analyze cross-sectional data. In this paper we draw data from the National Longitudinal Survey of Youth (NLSY) to build Markov transition states, producing a set of stylized facts from these longitudinal data. We derive the probabilities that children will repeat the occupational, educational, or child-raising choices of their parents. This gives us insight into how such lifestyle choices are vertically transmitted from parents to children, and the degree of persistence of these choices over the generations.
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- Diego Restuccia & Carlos Urrutia, 2002. "Intergenerational Persistence of Earnings: The Role of Early and College Education," Working Papers 0209, Centro de Investigacion Economica, ITAM.
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