Intergenerational persistence
Intergenerational persistence is a concept in economics and sociology referring to the extent to which economic, social, or demographic characteristics are transmitted from parents to their children across generations. High intergenerational persistence implies that parental background strongly predicts the outcomes of offspring, while low persistence is associated with greater social mobility and equality of opportunity.
Overview
Research on intergenerational persistence examines how characteristics such as income, wealth, education, occupation, health, and social status are correlated across generations. The topic is closely related to the study of intergenerational mobility, particularly intergenerational income mobility, which measures the degree to which children's economic outcomes depend on those of their parents.
Economists often study persistence using measures such as the intergenerational elasticity (IGE), which estimates the relationship between parents' and children's incomes. A higher elasticity indicates stronger persistence and lower mobility.
Mechanisms
Several mechanisms have been proposed to explain intergenerational persistence:
- Transmission of human capital through education and skills
- Inheritance of wealth and financial assets
- Access to social networks and social capital
- Neighborhood and environmental effects
- Differences in health and nutrition
- Cultural transmission of preferences, behaviors, and expectations
Measurement
Empirical studies typically estimate the statistical relationship between parental and offspring outcomes. Common indicators include:
- Income or earnings correlations across generations
- Educational attainment persistence
- Occupational status transmission
- Wealth mobility across generations
Longitudinal household surveys and administrative tax records are commonly used data sources in this research area.