Does Education Expansion Increase Intergenerational Mobility?
Article first published online: 1 AUG 2013
© 2013 The London School of Economics and Political Science
Volume 80, Issue 320, pages 760–773, October 2013
How to Cite
Zhong, H. (2013), Does Education Expansion Increase Intergenerational Mobility?. Economica, 80: 760–773. doi: 10.1111/ecca.12032
- Issue published online: 20 SEP 2013
- Article first published online: 1 AUG 2013
- Manuscript Received: 18 OCT 2012
Education expansion may lead to ‘over-education’, where the social connections of parents may exert more significant influence on the return to education of children. With the assumption of a positive correlation between return on human capital and parental income in the presence of over-education, we show that: (i) the expansion of education may cause horizontal inequity in education opportunities and inefficiency in human capital accumulation; (ii) the positive correlation between return on human capital and parental income causes a more persistent intergenerational immobility; (iii) an expansion of education (especially higher education) leads to more persistent intergenerational immobility.