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Measuring Family (Dis)Advantage: Lessons from Detailed Parental Information

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  • Sander de Vries

    (Vrije Universiteit Amsterdam and Tinbergen Institute)

Abstract

This paper provides new insights on the importance of family background by linking 1.7 million Dutch children’s incomes to an exceptionally rich set of family characteristics — including income, wealth, education, occupation, crime, and health. Using a machine learning approach, I show that conventional analyses using parental income only considerably underestimate intergenerational dependence. This underestimation is concentrated at the extremes of the child income distribution, where families are often (dis)advantaged across multiple dimensions. Gender differences in intergenerational dependence are minimal, despite allowing for complex gender-specific patterns. A comparison with adoptees highlights the role of pre-birth factors in driving intergenerational transmission.

Suggested Citation

  • Sander de Vries, 2025. "Measuring Family (Dis)Advantage: Lessons from Detailed Parental Information," Tinbergen Institute Discussion Papers 25-010/V, Tinbergen Institute.
    • Handle: RePEc:tin:wpaper:20250010
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    Keywords

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    JEL classification:

    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion

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