Family background and economic status in Finland

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    The importance of family background for economic outcomes is analyzed, using a Finnish data set. The estimates for intergenerational and sibling correlations in earnings are comparatively low. By estimating the magnitude of family influence conditional on parental earnings, children with poor parents are found to have lower intergenerational. elasticities, while the sibling resemblance is higher. Children with rich parents have higher intergenerational elasticities and the sibling resemblance is also higher, except for daughters. The results also indicate that the largest share of the intergenerational correlation is transmitted through observed characteristics, such as education and, in particulars occupation.
    Sidor (från-till)467–484
    Antal sidor18
    TidskriftScandinavian Journal of Economics
    StatusPublicerad - 2001
    MoE-publikationstypA1 Tidskriftsartikel-refererad


    • correlation in earnings
    • intermediating factors
    • non-linearities

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