Intergenerational income mobility in urban China

Honge Gong, Andrew Leigh, Xin Meng*

*Corresponding author for this work

    Research output: Contribution to journalArticlepeer-review

    103 Citations (Scopus)

    Abstract

    This paper estimates the intergenerational income elasticity for urban China, paying careful attention to the potential biases induced by income fluctuations and life cycle effects. Our preferred estimate indicates that the intergenerational income elasticity for father-son is 0.63. This suggests that while China has experienced rapid growth of absolute incomes, the relative position of children in the distribution is largely related to their parents' incomes. By investigating possible causal channels, we find that parental education plays one of the most important roles in transmitting economic status from parents to children.

    Original languageEnglish
    Pages (from-to)481-503
    Number of pages23
    JournalReview of Income and Wealth
    Volume58
    Issue number3
    DOIs
    Publication statusPublished - Sept 2012

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