The education effect on income across two generations in EU welfare states

PDF (English)
Veröffentlicht: Δεκ 21, 2018
DOI: https://doi.org/10.12681/scad.18957
Stefanos Papanastasiou
Panteion University
Abstract

By utilizing EU-SILC 2011 microdata and employing regression techniques in four EU welfare states (i.e., Greece, France, Ireland and Sweden), this paper demonstrates the diminishing education effect on income attainments between two generations. This finding puts into doubt the main argument of the mainstream academic and political discourse over the prominent role of education for income acquisition. Instead, this paper stresses the importance of other factors explaining
income attainments, such as social interconnectivity. The latter can produce or reproduce inequality as long as people gain access
to powerful positions through the usage of social connections. Thus, the upper social classes with extended social networking preserve their social privileges across generations despite the argument that the contemporary society boasts high social mobility attained through formal education.

Article Details
  • Rubrik
  • Articles
Creative-Commons-Lizenz
Dieses Werk steht unter der Lizenz Creative Commons Namensnennung - Nicht-kommerziell - Weitergabe unter gleichen Bedingungen 4.0 International.

Authors who publish with this journal agree to the following terms:

  1. Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution Non-Commercial License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
  2. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g. post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
  3. Authors are permitted and encouraged to post their work online (preferably in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).
Downloads
Keine Nutzungsdaten vorhanden.
Literaturhinweise
Acemoglu D. and Pischke J.-S. (2001), “Changes in the wage structure, family income and children’s education”, European Economic Review, vol. 45 (4-6), pp. 890-904.
Baum C. (2013), Applied econometrics, Boston College, available at: http://fmwww.bc.edu/EC-C/S2013/823/EC823.S2013.nn04.slides.pdf
Becker G., Kominers S., Murphy K. and Spenkuch J. (2015), A theory of intergenerational mobility, available at: https://ssrn.com/abstract=2652891.
Becker G. and Tomes N. (1986), “Human capital and the rise and fall of families”, Journal of Labor Economics, vol. 4, pp. 1-39.
Becker G. and Tomes N. (1979), “An equilibrium theory of the distribution of income and intergenerational mobility”, Journal of Political Economy, vol. 87, pp. 1153-1189.
Bratberg E., Nilsen Q. and Vaage K. (2003), Assessing changes in intergenerational earnings mobility, IZA Discussion Paper No. 797, Bohn: Institute for the Study of Labour, available at: http://ftp.iza.org/dp797.pdf.
Bianchi S., Hotz J. and Seltzer J. (2011), Understanding the different mechanisms underlying the intergenerational transmission of advantage and disadvantage, New York: Russell Sage Publications.
Bernardi F. (2016), “Education as the great equalizer: a theoretical framework” in: F. Bernardi and G. Ballarino (eds), Education, occupation and social origin: A comparative analysis of the transmission of socioeconomic inequalities (pp. 1-19), Cheltenham: Edward Elgar.
Blanden J. and Gregg P. (2004), Family income and educational attainment: a review of approaches and evidence for Britain, London: Centre for the Economics of Education, available at: https://pdfs.semanticscholar.org/f9c3/3c082a32bdbd49b9ad8896fb4758b9947ea2.pdf.
Blanden J. and Machin S. (2004), “Educational inequality and the expansion of UK higher education”, Scottish Journal of Political Economy, vol. 51(2), pp. 230-249, available at: http://eprints.lse.ac.uk/17497/1/__lse.ac.uk_storage_LIBRARY_Secondary_libfile_shared_repository_ Content_Blanden,J%26Machin,S_Educational%20inequality_Blanden_Educational%20 Inequality_2014.pdf.
Bourdieu P. (1979), Distinction: A social critique of the judgement of taste, Cambridge, Massachusetts: Harvard University Press.
Breen R. and Goldthorpe J. (2001), “Class, mobility and merit: The experience of two British birth cohorts”, European Sociological Review, vol. 17 (2), pp. 81-101.
Bratsberg B., Jäntti M., Roed K., Raaum O., Naylor R., Österbacka E., Bjorklund A. and Eriksson T. (2006), Nonlinearities in intergenerational earnings mobility: Consequences for crosscountry comparisons, Warwick Economic Research Paper No 782, University of Warwick, available at: https://www2.warwick.ac.uk/fac/soc/economics/research/workingpapers/2007/ twerp_782.pdf.
Cameron C. and Trivedi P. (2009), Microeconometrics using Stata, College Station: Stata Press.
Card D. (1999), “The causal effect of education on earnings”, in: Ashenfelter O. and Card D. (eds), Handbook of Labor Economics, vol. 3A, Amsterdam: Elsevier Science, available at: https://web.stanford.edu/group/scspi/_media/pdf/Classic_Media/Card_1999_Education.pdf.
Corak M. (2006), Do poor children become poor adults? Lessons from a cross country comparison of generational earnings mobility, Discussion Paper No. 1993, Bonn: IZA, available at: http://ftp.iza.org/dp1993.pdf.
Corak M. and Heisz A. (1999), “The intergenerational earnings and income mobility of Canadian men: Evidence from Longitudinal Income Tax Data”, Journal of Human Resources, vol. 34(3), pp. 504-533.
Cremin L. and Kendell K. (2003), American education: The national experience, New York: Macmillan.
Dearden L., Machin S. and Reed H. (1997), “Intergenerational mobility in Britain”, The Economic Journal, vol. 107, pp. 47-66.
Ellwood D. and Kayne T. (2000), “Who is getting a college education? Family background and the growing gaps in enrolment”, in: Danziger S. and Waldfogel J. (eds), Securing the future, New York: Russell Sage Foundation, pp. 283-324.
Erikson R. and Jonsson J. (1996), Can education be equalized? The Swedish case in comparative perspective, Boulder, Col: Westview Press.
Esping-Andersen G. (2007), Investing in children and their life chances, Paper prepared for the Foundation Carolina International Workshop ‘Welfare State and Competitivity’, Madrid.
Esping-Andersen G. (2005), “Social inheritance and equal opportunities policies”, in: Delorenzi S., Reed J. and Robinson P. (eds), Maintaining momentum, promoting social mobility and life chances from early years to adulthood, London: Institute for Public Policy Research, pp. 10-30.
Esping-Andersen G. (1990), The three worlds of welfare capitalism, Oxford: Policy Press.
Eurostat (2016), Glossary: EU Statistics on Income and Living Conditions (EU-SILC), available at: http://ec.europa.eu/eurostat/statistics-explained/index.php/Glossary:EU_statistics_on_income_and_living_conditions_(EU-SILC).
Eurostat (2012), EU-SILC 2011 module on intergenerational transmission of disadvantages, available at: http://ec.europa.eu/eurostat/documents/1012329/6071326/2011_Module_Intergenerational_ transmission_of_disadvanta.pdf/d3efe6be-81eb-422f-9f2f-92c5d4b39de6.
Ferrera M. (1996), "The 'Southern Model' of welfare in social Europe", Journal of European Social Policy, vol. 6, pp. 17-37.
Grawe N. (2004a), “Intergenerational mobility for whom? The experience of high and low earnings sons in international perspective”, in: Corak M. (ed.), Generational income mobility in North America and Europe, Cambridge: Cambridge University Press.
Grawe N. (2004b), “Reconsidering the use of nonlinearities in intergenerational earnings mobility as a test for credit constraints”, Journal of Human Resources, vol. 39 (3), pp. 813-827.
Graw N. and Mulligan C. (2002), “Economic interpretations of intergenerational correlations”, Journal of Economic Perspectives, vol. 16 (3), pp. 45-58.
Grudiza S. and Vilaplana-Lopez C. (2013), Persistence of individual disadvantage factors through two generations, available at: http://ec.europa.eu/eurostat/statistics-explained/index.phptitle=Archive:Intergenerational_transmission_of_disadvantage_statisticsandoldid=164287.
Heineck G. and Riphahn R. (2007), Intergenerational transmission of educational attainment in Germany: The last five decades, Discussion Paper No. 2985, Bohn: IZA, available at: http:// repec.iza.org/dp2985.pdf.
Koenker R. (2005), Quantile regression, Cambridge University Press.
Leibfried S. (1993), “Towards a European welfare state? On integrating poverty regimes into the European Community”, in: C. Jones (ed.), New perspectives on the welfare state in Europe, London and New York: Routledge, pp. 133-156.
Mayer S. and Lopoo L. (2004), “What do trends in the intergenerational economic mobility of sons and daughters in the United States mean?”, in: Corak M. (ed.), Generational income mobility in North America and Europe, Cambridge: Cambridge University Press, pp. 90- 121.
Mazumder B. (2005), “Fortunate sons: New estimates of intergenerational mobility in the US using social security earnings data”, Review of Economics and Statistics, vol. 87(2), pp. 235-255.
Mazumder B. (2001), Earnings mobility in the US: A new look at intergenerational inequality, Federal Reserve Bank of Chicago, available at: https://fraser.stlouisfed.org/files/docs/historical/ frbchi/workingpapers/frbchi_workingpaper_2001-18.pdf.
Mincer J. (1958), “Investment in human capital and personal income distribution”, Journal of Political Economy, vol. 66, pp. 281-302.
Musick K. and Mare R. (2004), Recent trends in the inheritance of poverty and family structure, Working Paper CCPR-002-04, California Centre for Population Research, Los Angeles: University of California, available at: http://papers.ccpr.ucla.edu/papers/PWP-CCPR-2004-002/ PWP-CCPR-2004-002.pdf.
Myrdal G. (1944), An American dilemma: The negro problem and modern democracy, New York/ London: Harper and Row.
Myrdal G. (1963), Challenge to affluence, London: Gollancz.
OECD (2017), A broken social elevator? How to promote social mobility, Paris: OECD Publishing.
Papanastasiou S. and Papatheodorou C. “Causal dynamics of poverty reproduction in EU countries”, International Journal of Social Welfare, Wiley (forthcoming).
Papatheodorou C. and Petmesidou M. (2005), “Inequality, redistribution and welfare regimes: Comparing Greece to other EU countries”, in: G. Argeitis (ed.), Economic changes and social contradictions in Greece: The challenges in the beginning of the 21st century, Athens: Typothito - G. Dardanos, pp. 213-254 (in Greek).
Papatheodorou C. and Petmesidou M. (2004), "Inequality, poverty and redistribution through social transfers: Greece in comparative perspective", in: M. Petmesidou and C. Papatheodorou (eds), Poverty and social exclusion, Athens: Exantas, (pp. 307-366) (in Greek).
Shavit Y. and Blossfeld H. (1993), Persistent inequality, Boulder: Col: Westview Press.
Schultz T. (1966), Investment in poor people, Office of Manpower Policy Evaluation Research, Washington: Department of Labor, available at: http://files.eric.ed.gov/fulltext/ED018581.pdf.
Solon G. (1992), “Intergenerational income mobility in the United States”, American Economic Review, vol. 82(3), pp. 393-408, available at: http://www.uh.edu/~adkugler/Solon.pdf.
Warren J., Hauser R. and Sheridan J. (2002), “Occupational stratification across the life course”, American Sociological Review, vol. 67, pp. 432-455.
Zimmerman D. (1992), “Regression toward mediocrity in economic stature”, American Economic Review, vol. 82(3), pp. 409-429.
Am häufigsten gelesenen Artikel dieser/dieses Autor/in