Higher Education and Intergenerational Income Persistence in the … · 2019. 5. 14. · Education...
Transcript of Higher Education and Intergenerational Income Persistence in the … · 2019. 5. 14. · Education...
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Higher Education and
Intergenerational Income Persistence
in the United States
Deirdre BloomeUniversity of Michigan
May 3, 2019
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Education perpetuates inequality
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Educational Stratification
Parents' Income Quartile
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(% of Children with BA+)
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Educational Returns
Adult Educational Attainment
<HS HS Some Coll. AA BA+
(Mean Income Rank, Relative to <HS)
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Education increasingly perpetuates inequality
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Rising Educational Stratification
Parents' Income Quartile
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Rising Educational Returns
Adult Educational Attainment
<HS HS Some Coll. AA BA+
(Mean Income Rank, Relative to <HS)
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. . . Yet intergenerational persistence has remained stable
1985 1990 1995 2000 2005 2010 2015
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(Change in Intergenerational Income Persistence)
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Education perpetuatesinequality
Education disruptsinequality
AND
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An equalizing educational trend
HS or Less Some Coll. AA BA+
College Degrees Became More Common...
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...and Persistence Declines with Education
HS or Less Some Coll. AA BA+
(Intergenerational Income Persistence by Education)
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A puzzle
Has intergenerational income persistence remained stable in theUnited States because disequalizing educational trends have beencounterbalanced by equalizing educational trends?
Answer: No.
→ Educational trends have been more disequalizing than→ equalizing.
→ Other changes combined with educational expansion to→ counterbalance rising educational inequalities→ (changes in young adult life course, rising economic→ insecurity)
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A puzzle
Has intergenerational income persistence remained stable in theUnited States because disequalizing educational trends have beencounterbalanced by equalizing educational trends?
Answer: No.
→ Educational trends have been more disequalizing than→ equalizing.
→ Other changes combined with educational expansion to→ counterbalance rising educational inequalities→ (changes in young adult life course, rising economic→ insecurity)
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In the remaining time
I Details
I Implications
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Data
Two cohorts from the National Longitudinal Surveys of Youth
I 1979 cohortI Survey years 1979-2014I Born in early 1960, college-age in early 1980s, age 30 in 1990s
I 1997 cohortI Survey years 1997-2015I Born in early 1980s, college-age in early 2000s, age 30 in 2010s
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Measuring intergenerational income persistence
All
Parental Income
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Rank Slope
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Measuring intergenerational income persistence
All All
Parental Income
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Rank Slope
% Upwardly Mobile
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Measuring intergenerational income persistence
All All Q1 Q2 Q3 Q4
Parental Income
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Rank Slope
% Upwardly Mobile
% Upwardly Mobile by Parental Income
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Measuring intergenerational income persistence
All All Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Parental Income
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20
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Rank Slope
% Upwardly Mobile
% Upwardly Mobile by Parental Income
% Remain in Quartile by Parental Income
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Trends in intergenerational income persistence
All All Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Parental Income
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Rank Slope
% Upwardly Mobile
% Upwardly Mobile by Parental Income
% Remain in Quartile by Parental Income
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Education’s multiple roles in persistence trends
1. Perpetuating inequality via educationI Rising inequality between levels of
education in parental incomeI . . . and in adult income → higher
persistence
2. Disrupting inequality via educationI Educational expansion across the
income distributionI More college graduates → lower
persistence
3. Changing persistence withineducation groups
I Changes in the life courseI Changes in the labor market
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Key takeaways
1. Scholars have been puzzled by the lack of change inintergenerational income persistence over a period of risingeducational inequalities
. . . We show that persistence was stabilized by offsetting
. . . trends
2. Educational expansion disrupted persistence (the“meritocratic power” of a college degree)
. . . yet dramatic as this expansion was, it did little to offset
. . . the effect of rising educational inequality by
. . . parental income
3. To understand changes in persistence, we must considerchanges in the (young) adult life course
. . . not only changes in childhood circumstances
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Implications
I Educational policy
I Beyond education
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Educational policy
For intergenerational persistence, equalization of educationalopportunities = more important than college expansion
I Who goes to college, rather than how many
I Class-conscious effortsrequired—in each stepof the educationalpipeline
I Adding more seatswould help, butwouldn’t be enough
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Beyond education
I Education-linked inequalitiescan outlast educational reform
I advanced degrees =increasingly important axis ofstratification
I educational returns dependon labor market structures
I Many inequalities are noteducation-linked
I declining persistence withineducation groups:→ insecurity or
opportunity?I fractal inequality at the top:
→ dream hoarders vs.occupy wall street
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Higher Education and
Intergenerational Income Persistence
in the United States
Deirdre BloomeUniversity of Michigan