Measuring intergenerational earnings mobility in Spain: A selection-bias-free
María Cervini-Plá
Working Papers from Department of Applied Economics at Universitat Autonoma of Barcelona
Abstract:
This paper analyses intergenerational earnings mobility in Spain correcting for different selection biases. We address the co-residence selection problem by combining information from two samples and using the two-sample two-stage least square estimator. We find a small decrease in elasticity when we move to younger cohorts. Furthermore, we find a higher correlation in the case of daughters than in the case of sons; however, when we consider the employment selection in the case of daughters, by adopting a Heckman-type correction method, the diference between sons and daughters disappears. By decomposing the sources of earnings elasticity across generations, we find that the correlation between child's and father's occupation is the most important component. Finally, quantile regressions estimates show that the influence of the father's earnings is greater when we move to the lower tail of the offspring's earnings distribution, especially in the case of daughters' earnings.
Keywords: Intergenerational mobility; earnings; two sample two stage least square estimator; Spain. (search for similar items in EconPapers)
JEL-codes: D31 J31 J62 (search for similar items in EconPapers)
Pages: 30 pages
Date: 2009-05
New Economics Papers: this item is included in nep-lab
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Citations: View citations in EconPapers (10)
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Persistent link: https://EconPapers.repec.org/RePEc:uab:wprdea:wpdea0904
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