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Intergenerational correlation and social interactions in education

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  • Sebastian Bervoets

    (GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - École Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique)

  • Yves Zenou

    (CEPR - Center for Economic Policy Research)

Abstract

We propose a dynastic model where individuals are born into an educated or uneducated environment that they inherit from their parents. We study the impact of social interactions on the correlation in parent-child educational status, independently of any parent-child interaction. When the level of social interactions is decided by a social planner, we show that the correlation in education status between generations decreases very fast as social interactions increase. In turn, when the level of social interactions is decided by the individuals themselves, we show that the intergenerational correlation still decreases, although less rapidly than with exogenous social interactions.

Suggested Citation

  • Sebastian Bervoets & Yves Zenou, 2017. "Intergenerational correlation and social interactions in education," Post-Print halshs-01666431, HAL.
  • Handle: RePEc:hal:journl:halshs-01666431
    DOI: 10.1016/j.euroecorev.2016.11.005
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    Cited by:

    1. Matthew O. Jackson & Brian W. Rogers & Yves Zenou, 2017. "The Economic Consequences of Social-Network Structure," Journal of Economic Literature, American Economic Association, vol. 55(1), pages 49-95, March.

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    More about this item

    Keywords

    Social mobility; Strong and weak ties; Intergenerational correlation; Education;
    All these keywords.

    JEL classification:

    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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