Scandinavian Working Papers in Economics

Working Paper Series,
Stockholm University, Swedish Institute for Social Research

No 5/2002: Do birth order and family size matter for intergenerational income mobility? Evidence from Sweden

Lena Lindahl ()
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Lena Lindahl: Swedish Institute for Social Research, Stockholm University, Postal: SE-106 91 Stockholm, Sweden

Abstract: Previous studies of intergenerational income mobility have not considered potential birth-order or family-size effects in the estimated income elasticity. This paper uses a large sample of individuals born between 1962 and 1964; income elasticities with respect to the father’s income are estimated for individuals in different birth-order positions for a given family size. This paper presents results based on labor income and total income for sons and daughters separately. The elasticity tends to decrease with birth order for a given family size, especially in the labor-income analysis of fathers and sons. Family size, on the other hand, does not seem to have a large impact on the intergenerational income elasticity.

Keywords: Birth order; family size; intergenerational mobility.

JEL-codes: J12; J62

28 pages, October 1, 2002

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