La distinction reloaded: Returns to education, family background, cultural and social capital in Germany
The German educational system finds itself being criticized by the OECD in its Programme for International Student Assessment. Family background would heavily influence children's academic achievements. A child stemming from a high class family has a 3.1 times higher chance to go to secondary school than a child from a working class family, controlling for ability. The chance for taking up university studies is even 7.4 times higher for children from high class families. In search of an explanation for this misery Pierre Bourdieu's and James Coleman's theories about cultural and social capital prove to be valuable. Based on their work this study will investigate returns to education and its interdependence with family background in Germany. Bourdieu basically explains that family background leads to acquire specific levels of manners, attitudes, self assurance etc. which in turn might inuence job status, income e.g. A huge body of literature measuring returns to education all over the world already exists, however, studies for Germany, and in particular studies that focuss on the relation between income, education and social background, are rare. This study appears to be the first one following an interdisciplinary approach, incorporating measures of cultural and social capital along with family background and further variables into a common Mincer wage equation. Taking data from the German SOEP for the years 2001 and 2005 indices measuring cultural and social capital are constructed applying principal component analysis. Education, ability, motivation, cultural and social capital are endogenized and adequate regression techniques are applied. It can be shown that social background determines an individual's amount of education which in turn will inuence income. An individual's amount of education does signi_cantly depend on parents' education, the father being a low-skilled laborer, the amount of cultural and social capital, ability and motivation. Males do get more education than women. Educational policy in Germany should concentrate on enhancing access to education for children from low class families on the one hand, on the other hand the German society should be sensitized to special needs of individuals stemming from low class families as well as to problems that these humans do face.
|Date of creation:||2010|
|Contact details of provider:|| Postal: Platz der Göttinger Sieben 3, 37073 Göttingen|
Web page: http://www.cege.wiso.uni-goettingen.de/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- David Card, 2000.
"Estimating the Return to Schooling: Progress on Some Persistent Econometric Problems,"
NBER Working Papers
7769, National Bureau of Economic Research, Inc.
- Card, David, 2001. "Estimating the Return to Schooling: Progress on Some Persistent Econometric Problems," Econometrica, Econometric Society, vol. 69(5), pages 1127-1160, September.
- Neumark, David, 1999. "Biases in twin estimates of the return to schooling," Economics of Education Review, Elsevier, vol. 18(2), pages 143-148, April.
- B. F. Kiker & C. M. Condon, 1981. "The Influence of Socioeconomic Background on the Earnings of Young Men," Journal of Human Resources, University of Wisconsin Press, vol. 16(1), pages 94-105.
- repec:fth:prinin:331 is not listed on IDEAS
- Theodore W. Schultz, 1962. "Reflections on Investment in Man," Journal of Political Economy, University of Chicago Press, vol. 70, pages 1-1.
- Gary S. Becker, 1962. "Investment in Human Capital: A Theoretical Analysis," Journal of Political Economy, University of Chicago Press, vol. 70, pages 1-9.
- Bernt Bratsberg & James F. Ragan Jr., 2002. "The Impact of Host-Country Schooling on Earnings: A Study of Male Immigrants in the United States," Journal of Human Resources, University of Wisconsin Press, vol. 37(1), pages 63-105.
- Cornelissen Thomas & Jirjahn Uwe & Tsertsvadze Georgi, 2008. "Parental Background and Earnings: German Evidence on Direct and Indirect Relationships," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 228(5-6), pages 554-572, October.
- Hause, John C, 1972. "Earnings Profile: Ability and Schooling," Journal of Political Economy, University of Chicago Press, vol. 80(3), pages 108-138, Part II, .
- Deschenes, Olivier, 2002.
"Estimating the Effects of Family Background on the Return to Schooling,"
University of California at Santa Barbara, Economics Working Paper Series
qt2qm3867s, Department of Economics, UC Santa Barbara.
- Deschenes, Olivier, 2007. "Estimating the Effects of Family Background on the Return to Schooling," Journal of Business & Economic Statistics, American Statistical Association, vol. 25, pages 265-277, July.
- David Card, 1994.
"Earnings, Schooling, and Ability Revisited,"
NBER Working Papers
4832, National Bureau of Economic Research, Inc.
- Kling, Jeffrey R, 2001.
"Interpreting Instrumental Variables Estimates of the Returns to Schooling,"
Journal of Business & Economic Statistics,
American Statistical Association, vol. 19(3), pages 358-364, July.
- Jeffrey R. Kling, 2000. "Interpreting Instrumental Variables Estimates of the Returns to Schooling," NBER Working Papers 7989, National Bureau of Economic Research, Inc.
- Jeffrey R. Kling, 1999. "Interpreting Instrumental Variables Estimates of the Returns to Schooling," Working Papers 794, Princeton University, Department of Economics, Industrial Relations Section..
- Regan, Tracy L. & Burghardt, Galen & Oaxaca, Ronald L., 2006. "A Human Capital Model of the Effects of Abilities and Family Background on Optimal Schooling Levels," IZA Discussion Papers 1927, Institute for the Study of Labor (IZA).
- Armitage, Jane & Sabot, Richard, 1987. "Socioeconomic Background and the Returns to Schooling in Two Low-income Economies," Economica, London School of Economics and Political Science, vol. 54(213), pages 103-108, February.
- John Shea, 1997.
"Does Parents' Money Matter?,"
NBER Working Papers
6026, National Bureau of Economic Research, Inc.
- Ermisch, John & Francesconi, Marco, 2001. "Family Matters: Impacts of Family Background on Educational Attainments," Economica, London School of Economics and Political Science, vol. 68(270), pages 137-156, May.
- repec:pri:indrel:dsp01rb68xb85z is not listed on IDEAS
- Patrinos, Harry Anthony, 1995. "Socioeconomic background, schooling, experience, ability and monetary rewards in Greece," Economics of Education Review, Elsevier, vol. 14(1), pages 85-91, March.
- Papanicolaou, John & Psacharopoulos, George, 1979. "Socioeconomic Background, Schooling and Monetary Rewards in the United Kingdom," Economica, London School of Economics and Political Science, vol. 46(184), pages 435-439, November.
- Schnabel, Reinhold & Schnabel, Isabel, 2002. "Family and gender still matter: the heterogeneity of returns to education in Germany," ZEW Discussion Papers 02-67, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
- Paul W. Miller & Barry R. Chiswick, 2002. "Immigrant earnings: Language skills, linguistic concentrations and the business cycle," Journal of Population Economics, Springer;European Society for Population Economics, vol. 15(1), pages 31-57.
- Rouse, Cecilia Elena, 1999. "Further estimates of the economic return to schooling from a new sample of twins," Economics of Education Review, Elsevier, vol. 18(2), pages 149-157, April.
- Orley Ashenfelter & David J. Zimmerman, 1997.
"Estimates Of The Returns To Schooling From Sibling Data: Fathers, Sons, And Brothers,"
The Review of Economics and Statistics,
MIT Press, vol. 79(1), pages 1-9, February.
- Orley Ashenfelter & David J. Zimmerman, 1993. "Estimates of the Returns to Schooling From Sibling Data: Fathers, Sons and Brothers," NBER Working Papers 4491, National Bureau of Economic Research, Inc.
- Astrid Krenz, 2008. "Theorie und Empirie über den Wirkungszusammenhang zwischen sozialer Herkunft, kulturellem und sozialem Kapital, Bildung und Einkommen in der Bundesrepublik Deutschland," SOEPpapers on Multidisciplinary Panel Data Research 128, DIW Berlin, The German Socio-Economic Panel (SOEP).
- Behrman, Jere R. & Rosenzweig, Mark R., 1999. ""Ability" biases in schooling returns and twins: a test and new estimates," Economics of Education Review, Elsevier, vol. 18(2), pages 159-167, April.
- Orley Ashenfelter & Cecilia Rouse, 1997.
"Income, Schooling, and Ability: Evidence from a New Sample of Identical Twins,"
NBER Working Papers
6106, National Bureau of Economic Research, Inc.
- Orley Ashenfelter & Cecilia Rouse, 1998. "Income, Schooling, and Ability: Evidence from a New Sample of Identical Twins," The Quarterly Journal of Economics, Oxford University Press, vol. 113(1), pages 253-284.
- Chiswick, Barry R, 1978. "The Effect of Americanization on the Earnings of Foreign-born Men," Journal of Political Economy, University of Chicago Press, vol. 86(5), pages 897-921, October.
When requesting a correction, please mention this item's handle: RePEc:zbw:cegedp:108. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (ZBW - German National Library of Economics)
If references are entirely missing, you can add them using this form.