The Anatomy of Intergenerational Income Mobility in France and its Spatial Variations - Sciences Po Access content directly
Preprints, Working Papers, ... Year : 2021

The Anatomy of Intergenerational Income Mobility in France and its Spatial Variations

Gustave Kenedi
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  • PersonId : 1118649
  • IdRef : 224436392
Louis Sirugue
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  • IdRef : 272278564

Abstract

We provide new estimates of intergenerational income mobility in France for children born in the 1970s using rich administrative data. Since parents' incomes are not observed, we employ a two-sample two-stage least squares estimation procedure. At the national level, every measure of intergenerational income persistence (intergenerational elasticities, rank-rank correlations, and transition matrices) suggests that France is characterized by relatively strong persistence relative to other developed countries. Children born to parents in the bottom 20% of their income distribution have a 10.1% probability of reaching the top 20% as adults. This probability is of 39.1% for children born to parents in the top 20%. At the local level, we find substantial spatial variations in intergenerational mobility. It is higher in the West of France and particularly low in the North and in the South. We uncover significant relationships between absolute upward mobility and characteristics of the environment an individual grew up in, such as the unemployment rate, population density, and income inequality.
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Dates and versions

hal-03812824 , version 1 (13-10-2022)

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Attribution - NonCommercial - NoDerivatives

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  • HAL Id : hal-03812824 , version 1

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Gustave Kenedi, Louis Sirugue. The Anatomy of Intergenerational Income Mobility in France and its Spatial Variations. 2021. ⟨hal-03812824⟩
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