The effects of growth in occupational licensing on intergenerational mobility
Brian Meehan (),
Andrew Meehan () and
Ilya Kukaev ()
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Andrew Meehan: Central Michigan University
Ilya Kukaev: Lehigh University
Economics Bulletin, 2019, vol. 39, issue 2, 1516-1528
We use a newly produced data set on growth in occupational licensing of low-income occupations to estimate the relationship between growth in occupational licensing and intergenerational mobility. Our empirical results suggest growth in state licensing is associated with a 1.6% to 6.2% reduction in absolute mobility at the county level. Growth in licensing is also associated with increases in county level Gini coefficients (and thus income inequality) ranging from 3.9% to 15.4%. The relationship between the growth in licensed occupations and absolute mobility provides suggestive evidence of loss in opportunity and reduced mobility for potential entrants into these occupations.
Keywords: Intergenerational Mobility; Inequality; Occupational Licensing (search for similar items in EconPapers)
JEL-codes: J6 K2 (search for similar items in EconPapers)
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Persistent link: https://EconPapers.repec.org/RePEc:ebl:ecbull:eb-18-00465
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