How important is the family? Evidence from sibling correlations in permanent earnings in the USA, Germany, and Denmark

This paper is the first to analyze the impact of family background on permanent earnings based on sibling correlations in Germany and to provide a cross-country comparison of Germany, Denmark, and USA. The main findings are that family and community background has a stronger influence on permanent earnings in Germany than in Denmark, and a comparable influence is found in USA. This holds true for both male and female siblings. A deeper analysis of Germany shows that family background also plays an important role in explaining variations in family income, wages, education, and risk attitudes.     

Does Education Affect Happiness? Evidence for Spain

In this paper we study the impact of education on happiness in Spain using individual-level data from the European Social Survey, by means of estimating Ordinal Logit Models. We find both direct and indirect effects of education on happiness. First, we find an indirect effect of education on happiness through income and labour status. That is, we find that people with a higher education level have higher income levels and a higher probability of being employed, and thus, report higher levels of happiness. Second, and after controlling by income, labour status and other socio-economic variables, we find that education has a positive (and direct) impact on happiness. We interpret this result as evidence of a ??self-confidence?? or ??self-estimation?? effect from acquiring knowledge. Finally, we find that the direct impact of education on happiness does not depend of the level of education (primary, secondary or tertiary).     

Time or Money: The Relationship Between Educational Attainment,Income Contribution,and Time with Children Among Korean Fathers

Korean parents’ enthusiasm for and financial investment in children’s education are well known. However, parental time with children, particularly fathers’ time, and how it differs by parental education and income are not fully explored. Using the 2009 Korean Time Use Survey data, this paper examines how much time Korean fathers spend with children, how it differs by their education and income contribution to household, and which aspect Korean fathers choose to prioritize: time or money. In order to investigate a cross-couple effect, this paper also considers mothers’ time with children and their level of education. The sample is limited to married couples with the youngest child aged between 0 and 12. The stepwise multivariate regression analysis indicates that fathers’ education consistently shows a positive relationship with childcare time. Although fathers’ income contribution to household income has a negative effect on childcare time, positive effects of fathers’ education remain. Both mother’s education and childcare time increase fathers’ time with children. Korean fathers seem to juggle dual demands for money and time contribution and highly educated fathers tend to prioritize time over money. Given that time has become an important resource, different time investment in children by parental socioeconomic status may exacerbate social inequality.     

Intergenerational Profiles of Socioeconomic (Dis)advantage and Obesity During the Transition to Adulthood

Investigations of socioeconomic status (SES) and health during the transition to adulthood in the United States are complicated by the later and more varied transitions in residence, employment, schooling, and social roles compared with previous generations. Parental SES is an important influence during adolescence but cannot sufficiently capture the SES of the independent young adult. Typical, single SES indicators based on income or education likely misclassify the SES of young adults who have not yet completed their education or other training, or who have entered the labor force early with ultimately lower status attainment. We use a latent class analysis (LCA) framework to characterize five intergenerational SES groups, combining multidimensional SES information from two time points—that is, adolescent (parental) and young adult (self) SES data. Associations of these groups with obesity, a high-risk health outcome in young adults, revealed nuanced relationships not seen using traditional intergenerational SES measures. In males, for example, a middle-class upbringing in adolescence and continued material advantage into adulthood was associated with nearly as high obesity as a working poor upbringing and early, detrimental transitions. This intergenerational typology of early SES exposure facilitates understanding of SES and health during young adulthood.     

Childhood Family Structure and Intergenerational Income Mobility in the United States

The declining prevalence of two-parent families helped increase income inequality over recent decades. Does family structure also condition how economic (dis)advantages pass from parents to children? If so, shifts in the organization of family life may contribute to enduring inequality between groups defined by childhood family structure. Using National Longitudinal Survey of Youth data, I combine parametric and nonparametric methods to reveal how family structure moderates intergenerational income mobility in the United States. I find that individuals raised outside stable two-parent homes are much more mobile than individuals from stable two-parent families. Mobility increases with the number of family transitions but does not vary with children’s time spent coresiding with both parents or stepparents conditional on a transition. However, this mobility indicates insecurity, not opportunity. Difficulties maintaining middle-class incomes create downward mobility among people raised outside stable two-parent homes. Regardless of parental income, these people are relatively likely to become low-income adults, reflecting a new form of perverse equality. People raised outside stable two-parent families are also less likely to become high-income adults than people from stable two-parent homes. Mobility differences account for about one-quarter of family-structure inequalities in income at the bottom of the income distribution and more than one-third of these inequalities at the top.     

From Child to Parent? The Significance of Children’s Education for Their Parents’ Longevity

In addition to own education and other socioeconomic resources, the education of one’s children may be important for individual health and longevity. Mothers and fathers born between 1932 and 1941 were analyzed by linking them to their children in the Swedish Multi-generation Register, which covers the total population. Controlling for parents’ education, social class, and income attenuates but does not remove the association between children’s education and parents’ mortality risk. Shared but unmeasured familial background characteristics were addressed by comparing siblings in the parental generation. In these fixed-effects analyses, comparing parents whose children had tertiary education with parents whose children completed only compulsory schooling (the reference group) yields a hazard ratio of 0.79 (95 % CI: 0.70–0.89) when the socioeconomic position of both parents is controlled for. The relationship is certainly not purely causal, but part of it could be if, for example, well-educated adult children use their resources to find the best available health care for their aging parents. I therefore introduce the concept of “social foreground” and suggest that children’s socioeconomic resources may be an important factor in trying to further understand social inequalities in health.     

Changing effects of family background on transitions to secondary education in the Netherlands: Consequences of educational expansion and reform

Recent developments in educational transitions research suggest a decomposition of qualitative dimensions within educational levels that are (nearly) universal. However, research on long-term trends of social stratification in the structurally tracked educational system of the Netherlands has not been published previously. In the Netherlands, the secondary educational level is divided into four hierarchical tracks which each lead to different options for subsequent educational decisions. A rapid increase of participation in the higher tracks over time however, may have changed the background-specific distribution of early track placement. This paper improves upon previous research on educational inequality by incorporating a long-term perspective into tracking research. The secondary level of the Dutch educational system is decomposed into its four tracks, using a time frame that covers cohorts that entered secondary education between 1946 and 1998. The application of multinomial logit regressions reveals that the choice of a secondary track is strongly depending on social background features, measured as education of the parents and occupational status of the father. We found linear downward trends of effects for fathers’ occupation in the intermediate tracks for the cohorts that entered secondary education between WWII and the 90s. The effects of parental education also decrease after WWII, but the trend is curvilinear and not enduring. Unexpectedly, the effects almost reach their previous level in the youngest cohort. Our results furthermore suggest that a controversial reform of the educational system in 1968 neither triggered nor accelerated equalization of secondary education, although it resulted in a growth of participation in senior general education (HAVO).     

How institutional context alters social reproduction dynamics: Ethnic track placement patterns in the U.S. and Germany

How does institutional context shape the way family dynamics, especially ethnic background and parental resources, affect track placement? We contrast the track placement patterns of immigrants and ethnic majority students in two countries marked by drastic differences in the social organization of schooling. Drawing on German (GSOEP) and U.S. (NELS) data, we find that, in general, more family resources pull students from lower to higher tracks, but ethnic inequalities in these resources favor the ethnic majority groups in both countries. In addition, institutional context conditions which parental resources shape educational outcomes, and how they do so. We find that the effects of parental ties exacerbate ethnic inequalities between whites and Latinos in the U.S.; whereas in Germany, parents’ community ties play a compensatory role for immigrants, who benefit from interactions with secular and ethno-religious groups. Our findings confirm previous cross-national research, but they also highlight the need to elaborate the relationship between institutional context and ethnically specific reproduction mechanisms within countries.     

Have family income mobility patterns changed?

We examine the mobility of individuals in the United States based on equivalent family income-that is, total income of all family members adjusted for family size according to the equivalence scale implicit in the U.S. poverty line. Our analysis, which tracks movements across quintiles, centers on four questions: How much movement is there across the family income distribution? How has this mobility changed over time? To what extent are the movements attributable to factors related to changes in family composition versus events in the labor markets? In light of major socioeconomic changes occurring in the quarter-century under study, have the determinants of mobility changed over time? Our findings indicate that mobility rates in the 1980s differed little from those in the 1970s. However, individuals in families headed by a young person or a person without a college education were less likely to experience upward mobility in the 1980s than in the 1970s.     

Errors in Recalling Childhood Socio-economic Status: The Role of Anchoring and Household Formation in South Africa

In the absence of longitudinal data that track individuals over an extended period of time, information on childhood socio-economic status can be provided by questions that ask adults to recall their parents’ education or their economic status at childhood. The usefulness of these data, however, requires that people are willing to report this information, and that these reports do not vary systematically over time, for example in response to changes in current circumstances. In this paper, we evaluate recall data for South Africa, collected from the same adults in the first two waves of a national panel survey. We show that the data, particularly on father’s education, are compromised by very low and selective response, reflecting the fragmented nature of many South African families. Among those who do provide information, parental education is reported more consistently over time than the subjective appraisals of childhood economic status. However, we find also that both sets of indicators are sensitive to changes in current income, which would be consistent with anchoring effects. Furthermore changes in subjective appraisals of the past are highly correlated with changes in subjective appraisals of the present.     

Who Enjoys the Fruits of Growth? Impact of Governments and Markets on Living Standards in Germany,The Netherlands and the U.S.A., 1987–1996

The 1980s and 1990s have been decades of quitegood economic growth in North America and muchof Western Europe. But how have the fruits ofgrowth been shared? This paper reviews changingincome distributions in the U.S., Germany and theNetherlands. These three countries may be takenas exemplars and leading economic performers in``the three worlds of welfare capitalism''(Esping-Andersen, 1990). The U.S. is a liberalwelfare-capitalist state, Germany a corporatiststate, and the Netherlands (less clearly) asocial democratic welfare-capitalist state. Thepaper focuses particularly on income changes inthe bottom, middle and top quintiles and takesa ten year period into account.Previous analyses have shown that labor andmarket income dispersion are increasing, withincreased returns to human capital. Thepotential impact of government through thetax-transfer system has been largely ignored.All three governments redistribute income fromthe rich to the poor. However, the paper showsthat only the Dutch government hasredistributed sufficiently to ensure that thebottom quintile has gained along with others.In Germany and the U.S. the poorest quintile wasconsiderably worse off in absolute terms at theend of the decade.than the beginning. TheGerman government somewhat counteracted thetrend towards greater income dispersion byredistributing to the poorest quintile, so theloss of market income was partly compensated. In the U.S. the impact of government on thepoorest quintile stayed about the same, so thisgroup ended up with about the same decrease indisposable income as market income.The U.S., Germany and the Netherlands are theonly three countries for which ten or moreconsecutive years of panel data are available.The data come from the PSID-GSOEP EquivalentFile 1980-97 and from a comparable fileconstructed from the Dutch SEP data.

     

The Decomposition of Economic Outcomes as a Result of Changes in Brazil’s Male Age–Education Structure

In Brazil, the age and education compositions of the male labor force is changing with great regional variation. Based on Demographic Census microdata, results indicate that cohort size has a negative impact on earnings, but this effect is decreasing over time. In this study we consider the impact on earnings by age and education, as well as estimated income inequality reduction and racial differentials. Fertility decline and improve regarding educational attainment had a significant influence on the decline of income inequality in the country. Moreover, the non-white population has been experiencing less success in relation to educational achievement, compared to the white population.     

Monitoring Socio-demographic Risk: A Cohort Analysis of Families Using Census Micro-Data

We apply cohort techniques to monitor four indicators of socio-demographic risk crucial to family wellbeing; namely, income, employment, education, and housing. The data were derived from New Zealand??s five-yearly Census for the period 1981?C2006. This allowed us to track birth cohorts of mothers (and their families) over six successive New Zealand censuses focusing on the main childrearing ages of 20?C59. This produced ten cohorts??termed ??open familial cohorts????ranging from mothers born in the period 1932?C1937 through to 1977?C1981. We present age, period and cohort analyses. Families in which the mother is in her early 20s were the most vulnerable, with the lowest incomes, the greatest risk of worklessnes, and the lowest levels of home ownership. Of particular interest is that those in the most recent cohorts??born since 1967??were worse off compared to earlier cohorts. The period from the mid-1980s to the mid-to-late 1990s was one of greatest ??socio-demographic risk??, with the lowest work, income and education prospects over the 25?years. The picture on generational profiles was mixed. Contrary to popular mythology the ??baby-boomer?? cohorts did not enjoy an unqualified advantage over others; indeed the most recent cohorts were doing well, with relatively high incomes, education and work levels. The analysis is successful in identifying age and period effects over a period of major social change, and in documenting cohort experiences for each indicator, thus demonstrating the potential of constructing cohorts from routinely-collected census micro-data for monitoring and policy purposes.     

Transitions from employment among young Norwegian workers

In a large representative sample of young Norwegian workers, we estimate gross transitions to unemployment, education, and other exits in a multinomial logit. In line with received literature, we find that individuals with high education, experience, and income have significantly lower probabilities of job exits. While female education rates have increased to surpass those of males, female labour market outcomes are still more responsive to family related background characteristics as compared with the outcomes for males. Received: 17 October 1996/Accepted: 5 March 1999     

Adolescent fertility: worldwide concerns

There is growing concern over the adverse health, social, economic, and demographic effects of adolescent fertility. Morbidity and mortality rates ar significantly higher for teenage mothers and their infants, and early initiation of childbearing generally means truncated education, lower future family income, and larger completed family size. Adolescent fertility rates, which largely reflect marriage patterns, range from 4/1000 in Mauritania; in sub-Saharan Africa, virtually all rates are over 100. In most countries, adolescent fertility rates are declining due to rising age at marriage, increased educational and economic opportunities for young women, changes in social customs, increased use of contraception, and access to abortion. However, even if fertility rates were to decline dramatically among adolescent women in developing countries, their sheer numbers imply that their fertility will have a major impact on world population growth in the years ahead. The number of women in the world ages 15-19 years is expected to increase from 245 million in 1985 to over 320 million in the years 2020; 82% of these women live in developing countries. As a result of more and earlier premarital sexual activity, fostered by the lengthening gap between puberty and marriage, diminished parental and social controls, and increasing peer and media pressure to be sexually active, abortion and out-of-wedlock childbearing are increasing among teenagers in many developed and rapidly urbanizing developing countries. Laws and policies regarding sex education in the schools and access to family planning services by adolescents can either inhibit or support efforts to reduce adolescent fertility. Since contraceptive use is often sporadic and ineffective among adolescents, family planning services are crucial. Such programs should aim to reduce adolescents' dependence on abortion through preventive measures and increase awareness of the benefits of delayed sexual activity. Similarly, sex education should seek to provide a basis for intelligent, informed decision making. Programs tailored to reach teenagers in schools, recreational centers, and the workplace have particular potential.     

Educational Homogamy and Gender-Specific Earnings: Sweden, 1990–2009

Several studies have shown strong educational homogamy in most Western societies, although the trends over time differ across countries. In this article, we study the connection between educational assortative mating and gender-specific earnings in a sample containing the entire Swedish population born 1960–1974; we follow this sample from 1990 to 2009. Our empirical strategy exploits a longitudinal design, using distributed fixed-effects models capturing the impact of partner education on postmarital earnings, relating it to the income development before union formation. We find that being partnered with someone with more education (hypergamy) is associated with higher earnings, while partnering someone with less education (hypogamy) is associated with lower earnings. However, most of these differences in earnings emerge prior to the time of marriage, implying that the effect is explained by marital selection processes rather than by partner education affecting earnings. The exception is hypogamy among the highly educated, for which there are strong indications that in comparison with homogamy and hypergamy, earnings grow slower after union formation.     

Dispositional Affect and Job Outcomes

This longitudinal study examines the influence of dispositional affect,defined as self-rated cheerfulness at college entry, on three job outcomes – current income, job satisfaction, and unemployment history – assessedabout 19 years later. Analysis shows that individuals with a highercheerfulness rating at college entry have a higher current income and ahigher job satisfaction rating and are less likely ever to have beenunemployed than individuals with a lower cheerfulness rating. Althoughcheerfulness generally has a positive effect on current income, this effectis curvilinear, with current income increasing more rapidly at lower thanat higher cheerfulness ratings; the effect is also moderated by parentalincome, with the increase in current income between any two cheerfulnessratings becoming greater as the level of parental income increases. Theeffect of cheerfulness on current income is not moderated by sex; the effectof cheerfulness on job satisfaction and on unemployment history is notmoderated by either sex or parental income.     

Changes in the Relationship Between Child Support Payments and Educational Attainment of Offspring, 1979–1988

We examine changes over the 1980s in the effect of child support payments on the educational attainment of children age 16 to 19 in the United States, and why child support has a stronger impact than other sources of income. We use 1979 and 1988 Current Population Survey data, covering a period when improvements in enforcement should have increased the proportion of reluctant fathers paying support. We hypothesize and find that the positive effect of child support on education diminished somewhat over this period, both absolutely and in relation to other income.     

中国城镇劳动力市场中的过度教育——测量改进与收入效应

过度教育是否会造成收入惩罚?这是国际教育匹配领域长期争论的议题。本研究聚焦中国城镇劳动力市场,使用2003—2015年中国综合社会调查(CGSS)数据分析过度教育的收入效应,最终得到以下结论:第一,通过改进教育匹配的测量方法,发现我国城镇劳动力市场过度教育的发生比例约为35%。第二,通过线性回归发现过度教育会造成收入惩罚,并且这种收入惩罚持续存在。第三,将历年高考录取率和各省专业技术人员比例作为工具变量的分析,进一步证明了过度教育的收入惩罚效应。以上结论意味着,通过宏观政策促进教育和职业匹配,对于实现更加充分的劳动力就业具有重要现实意义。