Inter-Generational Earnings Elasticity Measure

See: Earnings, Elasticity Measure, Inter-Generational Relationship, Gini Income Inequality Index.

References

(Corak, 2006) ⇒ Miles Corak. (2006). “Do poor children become poor adults? Lessons from a cross-country comparison of generational earnings mobility." Vol. 13. Emerald Group Publishing Limited, 2006.
- QUOTE: A cross country comparison of generational earnings mobility is offered, and the reasons for the degree to which the long run labour market success of children is related to that of their parents is examined. The rich countries differ significantly in the extent to which parental economic status is related to the labour market success of children in adulthood. The strength of these associations should not be interpreted as offering a target or menu for the conduct of policy. A framework for understanding the underlying causal process as well as the conception of equality of opportunity is reviewed as a guide for public policy.

(Solon, 2002) ⇒ Gary Solon. (2002). “Cross-country differences in intergenerational earnings mobility.” In: The Journal of Economic Perspectives, 16(3).
- QUOTE: International studies of the extent to which economic status is passed from one generation to the next are important for at least two reasons. First, each study of a particular country characterizes an important feature of that country’s income inequality. Second, comparisons of intergenerational mobility across countries may yield valuable clues about how income status is transmitted across generations and why the strength of that intergenerational transmission varies across countries. The first section of this paper explains a benchmark measure of inter-generational mobility commonly used in U.S. studies. The second section summarizes comparable empirical findings that have accumulated so far for countries other than the United States. The third section sketches a theoretical framework for interpreting cross-country differences in intergenerational mobility.