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Are we born equal: a study of intergenerational income mobility in China

Jin, M, Bai, X, Li, KX and Shi, W ORCID: 0000-0001-6551-0499 2019 , 'Are we born equal: a study of intergenerational income mobility in China' , Journal of Demographic Economics, vol. 85 , pp. 1-19 , doi: 10.1017/dem.2018.19.

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Abstract

Studies show that the gain from China’s remarkable growth of the past 35 years has notbeen evenly shared, especially through the intergenerational transmission of income. Toaddress this concern, we use data from China Health and Nutrition Survey and findthe intergenerational income elasticity to be 0.466 in 2011, which suggests that sons’incomes are affected by their fathers’ economic statuses to a large extent. A cross-countrycomparison indicates that the degree of generational income mobility in China is lowerthan that in many developed nations. Meanwhile, by investigating possible transmissionchannels, we find that the fathers’ investments in the sons’ education and occupationplay substantial roles in intergenerational transmission of income. The results not onlydemonstrate the trends in intergenerational income mobility in China, but also identifythe most likely transmission channels, which is of great importance to improving socialequality.

Item Type: Article
Authors/Creators:Jin, M and Bai, X and Li, KX and Shi, W
Keywords: Intergenerational income mobility; persistent transitory fluctuation; social equality; transmission mechanisms
Journal or Publication Title: Journal of Demographic Economics
Publisher: Cambridge Univ Press
ISSN: 2054-0892
DOI / ID Number: 10.1017/dem.2018.19
Copyright Information:

Copyright 2019 Universite catholique de Louvain

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