Where You Are Born Matters : Inequality of Opportunities and Intergenerational Mobility across Colombia’s Territory

The circumstances into which individuals are born are beyond their control, yet they play a significant role in shaping people’s economic opportunities and are thus key drivers of inequality and its persistence over time. Understanding the role of place of birth is essential to understanding inequality of opportunities and social mobility, both of which directly affect overall inequality. This paper uses machine learning techniques and data from Colombia, one of the most unequal countries in Latin America and the Caribbean, to estimate inequality of opportunity and in tergenerational education mobility indexes. The analysis incorporate place of birth and a more granular geographic lens to capture the extent of regional disparities. The findings show that 49 percent of the Gini income inequality is explained by circumstances at birth, and place of birth accounts for up to half of these inequalities. Intergenerational mobility measures at the department (province) level also reveal striking disparities in opportunities across the country. These findings underscore the critical role that place of birth plays in perpetuating inequality, providing important insights for policies aimed at promoting social mobility and reducing territorial disparities.