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Does Parental Quality Matter? Evidence on the Transmission of Human Capital Using Variation in Parental Influence from Death, Divorce, and Family Size

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  • Eric Gould
  • Avi Simhon
  • Bruce A. Weinberg

Abstract

This paper examines the transmission of human capital from parents to children using variation in parental influence due to parental death, divorce, and the increasing specialization of parental roles in larger families. All three sources of variation yield strikingly similar patterns which show that the strong parent-child correlation in human capital is largely causal. In each case, the parent-child correlation in education is stronger with the parent that spends more time with the child, and weaker with the parent that spends relatively less time parenting. These findings help us understand why educated parents spend more time with their children.

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  • Eric Gould & Avi Simhon & Bruce A. Weinberg, 2019. "Does Parental Quality Matter? Evidence on the Transmission of Human Capital Using Variation in Parental Influence from Death, Divorce, and Family Size," NBER Working Papers 25495, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:25495
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    4. Eric A. Hanushek & Jacob D. Light & Paul E. Peterson & Laura M. Talpey & Ludger Woessmann, 2022. "Long-run Trends in the U.S. SES-Achievement Gap," Education Finance and Policy, MIT Press, vol. 17(4), pages 608-640, Fall.
    5. Paul J. Devereux, 2019. "Intergenerational return to human capital," IZA World of Labor, Institute of Labor Economics (IZA), pages 1-19, November.
    6. Andric, Mateja & Hsueh, Josh Wei-Jun & Zellweger, Thomas & Hatak, Isabella, 2024. "Parental divorce in early life and entrepreneurial performance in adulthood," Journal of Business Venturing, Elsevier, vol. 39(3).
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    8. Kunwon Ahn & John V. Winters, 2023. "Does education enhance entrepreneurship?," Small Business Economics, Springer, vol. 61(2), pages 717-743, August.
    9. Bastiaans, Mareen & Dur, Robert & Gielen, Anne C., 2024. "Activating the long-term inactive: Labor market and mental health effects," Labour Economics, Elsevier, vol. 90(C).
    10. Hertegård, Edvin, 2024. "Divorce law reform, family stability, and children's long-term outcomes," Working Paper Series 2024:11, IFAU - Institute for Evaluation of Labour Market and Education Policy.
    11. Cynthia Bansak & Martha Starr, 2021. "Covid-19 shocks to education supply: how 200,000 U.S. households dealt with the sudden shift to distance learning," Review of Economics of the Household, Springer, vol. 19(1), pages 63-90, March.
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    JEL classification:

    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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