Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/307235 
Year of Publication: 
2024
Series/Report no.: 
IZA Discussion Papers No. 17411
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
This paper studies intergenerational income mobility using register data for 630,000 Danish children and their parents. We document substantial mobility differences across parents' income levels. Decomposing the mobility estimates shows that for children from low income families, intergenerational income persistence is exclusively explained by parents' influence on children's employment. As parents' income increases, education becomes an increasingly dominant factor, except among children from the top-5% where intergenerational income persistence is driven by capital income likely through bequests and business contacts. Finally, we find that progressive public transfers such as those in Denmark suppress the importance of intergenerational transmission of employment.
Subjects: 
income mobility
education
employment
public transfers
JEL: 
I24
I30
J62
Document Type: 
Working Paper

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.