Downloads
cwp661515.pdf
PDF | 3.89 MB
We extend the standard intergenerational mobility literature by modelling individual outcomes as a function of the whole history of parental income, using data from Norway. We find that, conditional on permanent income, education is maximized when income is balanced between the early childhood and middle childhood years. In addition, there is an advantage to having income occur in late adolescence rather than in early childhood. These result are consistent with a model of parental investments in children with multiple periods of childhood, income shocks, imperfect insurance, dynamic complementarity and uncertainty about the production function and the ability of the child.
Authors
Research Fellow University College London
Pedro is a Professor of Economics at University College London and an economist in the IFS' Centre for Microdata Methods and Practice (cemmap).
Kjell G. Salvanes
Italo Lopez Garcia
Lecturer University of York
Working Paper details
- DOI
- 10.1920/wp.cem.2015.6615
- Publisher
- cemmap
Suggested citation
Carneiro, P et al. (2015). Intergenerational mobility and the timing of parental income. London: cemmap. Available at: https://ifs.org.uk/publications/intergenerational-mobility-and-timing-parental-income (accessed: 18 May 2024).
More from IFS
Understand this issue
Where next for the state pension?
13 December 2023
Social mobility and wealth
12 December 2023
Autumn Statement 2023: IFS analysis
23 November 2023
Policy analysis
The past and future of UK health spending
14 May 2024
Recent trends in and the outlook for health-related benefits
19 April 2024
Progression of nurses within the NHS
12 April 2024
Academic research
Keeping the peace whilst getting your way: Information, persuasion and intimate partner violence
17 May 2024
The role of hospital networks in individual mortality
13 May 2024
Forced displacement, mental health, and child development: Evidence from Rohingya refugees
10 May 2024