Intergenerational mobility: New evidence from consumption data

Gustaf Bruze

Journal of Applied Econometrics, 2018, vol. 33, issue 4, 580-593

Abstract: The intergenerational persistence of consumption describes the extent to which children inherit the living standards of their parents. Evidence on this parameter is scarce due to limited data on the joint consumption of parents and children. This paper identifies parents who participated in the Danish Expenditure Survey, links them to their children through population‐wide Danish registries, and estimates the intergenerational elasticity of consumption in Denmark. The results suggest that, consistent with intergenerational consumption smoothing, the persistence of consumption across generations is higher than the persistence of earnings and income.

Date: 2018
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https://doi.org/10.1002/jae.2626

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Persistent link: https://EconPapers.repec.org/RePEc:wly:japmet:v:33:y:2018:i:4:p:580-593

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