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Journal ArticleDOI

Fortunate Sons: New Estimates of Intergenerational Mobility in the United States Using Social Security Earnings Data

TLDR
This article found that intergenerational mobility is significantly lower for families with little or no wealth, offering empirical support for theoretical models that predict differences due to borrowing constraints, suggesting that the United States is substantially less mobile than previous research indicated.
Abstract
Previous studies, relying on short-term averages of fathers' earnings, have estimated the intergenerational elasticity (IGE) in earnings to be approximately 0.4. Due to persistent transitory fluctuations, these estimates have been biased down by approximately 30% or more. Using administrative data containing the earnings histories of parents and children, the IGE is estimated to be around 0.6. This suggests that the United States is substantially less mobile than previous research indicated. Estimates of intergenerational mobility are significantly lower for families with little or no wealth, offering empirical support for theoretical models that predict differences due to borrowing constraints.

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Doves for the rich, hawks for the poor? Distributional consequences of systematic monetary policy

TL;DR: The authors build a New Keynesian business-cycle model with rich household heterogeneity and show that the political support for inflation-centric policy depends on wage setting, the tax system, and the portfolio that households have.
Journal ArticleDOI

La movilidad intergeneracional del ingreso y sus métodos de estimación. Un análisis comparativo para Argentina y Chile

TL;DR: A partir de datos for Chile and Argentina, de distintos estimadores of the elasticidad intergeneracional del ingreso (EII) constituye the medida de inmovilidad de ingresos entre padres e hijos mas utilizada in la literatura empirica, the authors evaluate the performance, a partir of data for Chile y Argentina.
Journal ArticleDOI

Growth, Inequality and Absolute Mobility in the United States, 1962-2014

TL;DR: In this article, the authors combine historical cross-sectional and longitudinal data in the US to study patterns of economic growth within the income distribution and quantify absolute mobility as the fraction of families with higher income over a period of several years.
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Intergenerational Mobility and Income Effects for Entrepreneurial Activity in Mexico

TL;DR: In this article, the authors used the Mexican Social Mobility Survey 2006 to analyze intergenerational social mobility as it relates to entrepreneurial activity and found that entrepreneurs experience greater upward social mobility than self-employed workers or employees.
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On intergenerational mobility in Italy: what a difficult future for the young

TL;DR: In this article, the authors make a description of the economic perspective of young people in Italy and analyze two important problems: the level of public debt and the meaning of this for the present young generations as well for the future generations.
References
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Journal ArticleDOI

An Equilibrium Theory of the Distribution of Income and Intergenerational Mobility

TL;DR: The theory of inequality and intergenerational mobility presented in this paper assumes that each family maximizes a utility function spanning several generations, which depends on the consumption of parents and on the quantity and quality of their children.
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Intergenerational Income Mobility in the United States

TL;DR: For example, this article showed that the intergenerational correlation in long-run income is at least 0.4, indicating dramatically less mobility than suggested by earlier research, indicating less mobility.
Posted ContentDOI

Human Capital Policy

TL;DR: This paper showed the importance of cognitive and non-cognitive skills that are formed early in the life cycle in accounting for racial, ethnic and family background gaps in schooling and other dimensions of socioeconomic success.
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Least absolute deviations estimation for the censored regression model

TL;DR: In this paper, an alternative to maximum likelihood estimation of the parameters of the censored regression (or censored 'Tobit' model) is proposed, which is a generalization of least absolute deviations estimation for the standard linear model, and is also robust to heteroscedasticity.
Journal ArticleDOI

The Dynamics of Educational Attainment for Black, Hispanic, and White Males

TL;DR: The authors found that the long-run factors associated with parental background and family environment, and not credit constraints facing prospective students in the college-going years, account for most of the racial and ethnic disparities in college attendance.