Intergenerational Persistence in Income and Social Class: The Impact of Increased Inequality
Sociologists and economists reach quite different conclusions about how intergenerational mobility in the UK compares for those growing up in the 1970s and 1980s. Persistence in social class is found to be unchanged while family income is found to be more closely related to sons’ earnings for those born in 1970 compared to those born in the 1958. We investigate the reasons for the contrast and find that they are not due to methodological differences or data quality. Rather, they are explained by the increased importance of differences in income within social class for sons’ earnings in the second cohort. When economists measure intergenerational mobility their ideal is to see how permanent income is transmitted across generations. Our investigations show that the importance of within-social class differences in income mean that a single measure of income is a better predictor of permanent income status than fathers’ social class. We would not, therefore, expect the results for changes in intergenerational mobility based on income and social class to necessarily coincide.
|Date of creation:||Mar 2008|
|Date of revision:|
|Contact details of provider:|| Postal: 2 Priory Road, Bristol, BS8 1TX|
Phone: 0117 33 10799
Fax: 0117 33 10705
Web page: http://www.bris.ac.uk/cmpo/
More information through EDIRC
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.:
- Johnson, Paul & Webb, Steven, 1993. "Explaining the Growth in UK Income Inequality: 1979-1988," Economic Journal, Royal Economic Society, vol. 103(417), pages 429-35, March.
- Amanda Gosling & Stephen Machin & Costas Meghir, 2000.
"The Changing Distribution of Male Wages in the U.K,"
Review of Economic Studies,
Oxford University Press, vol. 67(4), pages 635-666.
- A Gosling & Stephen Machin, 1995. "The Changing Distribution of Male Wages in the UK," CEP Discussion Papers dp0271, Centre for Economic Performance, LSE.
- Amanda Gosling & Stephen Machin & Costas Meghir, 1994. "The changing distribution of male wages in the UK," IFS Working Papers W94/13, Institute for Fiscal Studies.
- Jo Blanden & Paul Gregg & Lindsey Macmillan & Lindsey Macmillan, 2006.
"Accounting for Intergenerational Income Persistence: Non-Cognitive Skills, Ability and Education,"
CEE Discussion Papers
0073, Centre for the Economics of Education, LSE.
- Jo Blanden & Paul Gregg & Lindsey Macmillan, 2007. "Accounting for Intergenerational Income Persistence: Noncognitive Skills, Ability and Education," Economic Journal, Royal Economic Society, vol. 117(519), pages C43-C60, 03.
- Blanden, Jo & Gregg, Paul & Macmillan, Lindsey, 2007. "Accounting for Intergenerational Income Persistence: Noncognitive Skills, Ability and Education," IZA Discussion Papers 2554, Institute for the Study of Labor (IZA).
- Jo Blanden & Paul Gregg & Lindsey Macmillan, 2006. "Accounting for intergenerational income persistence: non-cognitive skills, ability and education," LSE Research Online Documents on Economics 19401, London School of Economics and Political Science, LSE Library.
- Jo Blanden & Paul Gregg & Lindsey MacMillan, 2007. "Accounting for Intergenerational Income Persistence: Noncognitive Skills, Ability and Education," School of Economics Discussion Papers 0307, School of Economics, University of Surrey.
- Gary S. Becker & Nigel Tomes, .
"Human Capital and the Rise and Fall of Families,"
University of Chicago - Population Research Center
84-10, Chicago - Population Research Center.
- Becker, Gary S & Tomes, Nigel, 1986. "Human Capital and the Rise and Fall of Families," Journal of Labor Economics, University of Chicago Press, vol. 4(3), pages S1-39, July.
- Gary S. Becker & Nigel Tomes, 1994. "Human Capital and the Rise and Fall of Families," NBER Chapters, in: Human Capital: A Theoretical and Empirical Analysis with Special Reference to Education (3rd Edition), pages 257-298 National Bureau of Economic Research, Inc.
- Solon, Gary, 1992. "Intergenerational Income Mobility in the United States," American Economic Review, American Economic Association, vol. 82(3), pages 393-408, June.
- Nathan D . Grawe, 2004. "The 3-day Week of 1974 and Earnings Data Reliability in the Family Expenditure Survey and the National Child Development Study," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 66(4), pages 567-579, 09.
- Ermisch, John & Nicoletti, Cheti, 2005.
"Intergenerational earnings mobility: changes across cohorts in Britain,"
ISER Working Paper Series
2005-19, Institute for Social and Economic Research.
- Nicoletti Cheti & Ermisch John F, 2008. "Intergenerational Earnings Mobility: Changes across Cohorts in Britain," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 7(2), pages 1-38, January.
- Singh, S K & Maddala, G S, 1976. "A Function for Size Distribution of Incomes," Econometrica, Econometric Society, vol. 44(5), pages 963-70, September.
- Anders Björklund & Markus Jäntti, 2000. "Intergenerational mobility of socio-economic status in comparative perspective," Nordic Journal of Political Economy, Nordic Journal of Political Economy, vol. 26, pages 3-32.
When requesting a correction, please mention this item's handle: RePEc:bri:cmpowp:08/195. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If references are entirely missing, you can add them using this form.