Intergenerational earnings mobility in Taiwan

Fengye Sun, Atsuko Ueda

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    Abstract

    This study aims to estimate the extent of intergenerational mobility of earnings in Taiwan. The intergenerationalelasticity of a child's earnings with respect to its parent's earnings is estimated by using household micro-data fromthe Panel Study of Family Dynamics (PSFD) in Taiwan. We apply an estimation method using the predictedearnings of parents. The estimation result suggests that the elasticity for sons is 0.25-0.3 and that for daughters isroughly 0.4. The estimate looks intermediate or moderately low from an international perspective, suggesting thatTaiwan is a moderately mobile society.

    Original languageEnglish
    Pages (from-to)187-197
    Number of pages11
    JournalEconomics Bulletin
    Volume35
    Issue number1
    Publication statusPublished - 2015

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    ASJC Scopus subject areas

    • Economics, Econometrics and Finance(all)

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