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Intergenerational Mobility

Author

Listed:
  • Neil A. Cholli
  • Steven N. Durlauf
Abstract
This essay reviews the theory and empirics of intergenerational mobility. Our review draws on models and empirical analyses of classic and more recent work from both economics and sociology. We summarize models and the surrounding empirical evidence of two key sets of mechanisms: family factors (income, education, credit constraints, household composition, and genes) and social factors (schools, neighborhood sorting, racial segregation, and peer and role model effects). We then discuss and evaluate current methods used to measure intergenerational mobility, including linear regressions and Markov chains. Theoretical models imply nonlinear relationships between parent and child status that are often ignored in practice and offer potentially different interpretations of the evidence of heterogeneity in mobility across locations, groups, and time. We conclude that the next generation of studies would benefit from a closer integration of theory with empirics.

Suggested Citation

  • Neil A. Cholli & Steven N. Durlauf, 2022. "Intergenerational Mobility," NBER Working Papers 29760, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:29760
    Note: ED EFG PE
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    More about this item

    JEL classification:

    • D30 - Microeconomics - - Distribution - - - General
    • H0 - Public Economics - - General
    • J0 - Labor and Demographic Economics - - General
    • R0 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General

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