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Intergenerational income mobility in Canada: Research highlights from two recent studies

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  • Yuri Ostrovsky

Abstract

A study forthcoming in American Economic Journal: Applied Economics compares absolute intergenerational income mobility rates in the United States, Canada, the United Kingdom, the Netherlands, Norway, Sweden and Finland. The rate of absolute intergenerational income mobility is defined as the fraction of adult children in the population whose income is higher than that earned by their parents at the same age. Earlier studies showed a dramatic decline in the rate of absolute intergenerational income mobility in the United States: while about 90% of 30-year-old Americans born in the 1940s could be expected to do better than their parents did at the same age, this was true for just over 50% of 30-year-old Americans born in the 1980s. An analysis that is more limited in scope showed that the rate of absolute intergenerational income mobility in Canada at age 30 had remained relatively stable for those born from 1977 to 1985, and most 30-year-old Canadians born in the 1980s had higher inflation-adjusted family income than their parents did at the same age.

Suggested Citation

  • Yuri Ostrovsky, 2023. "Intergenerational income mobility in Canada: Research highlights from two recent studies," Economic and Social Reports 202301200001e, Statistics Canada, Analytical Studies and Modelling Branch.
    • Handle: RePEc:stc:stcp8e:202301200001e
    DOI: https://doi.org/10.25318/36280001202301200001-eng
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    JEL classification:

    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • M21 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - Business Economics

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