Cookies?
Library Header Image
LSE Research Online LSE Library Services

The effect of parental wealth on children’s outcomes inearly adulthood

Karagiannaki, Eleni (2012) The effect of parental wealth on children’s outcomes inearly adulthood. CASEpapers (164). Centre for the Analysis of Social Exclusion, London School of Economics and Political Science, London, UK.

[img]
Preview
PDF
Download (489kB) | Preview

Abstract

This paper presents the first UK estimates of the association between parental wealth during adolescence and a range of children’s outcomes in early adulthood. Parental wealth is positively associated with all outcomes examined (which include educational attainment, employment, earnings and homeownership). The estimated associations are found to operate over and above parental education and income and in many cases are stronger than them. For labour market outcomes a small share of the association reflects the indirect effect of parental wealth on children’s education whereas for homeownership the estimated association appear to mainly reflect the effect of parental wealth transfers. Further analysis by wealth component shows that degree attainment is more strongly associated with housing wealth than financial wealth. However, important effects are also estimated for financial wealth indicating the existence of financial constraints for low wealth-financial indebted households. For homeownership and earnings the estimated association are stronger for financial wealth.

Item Type: Monograph (Report)
Official URL: http://sticerd.lse.ac.uk/case
Additional Information: © 2012 The Author
Divisions: Centre for Analysis of Social Exclusion
Subjects: H Social Sciences > HG Finance
H Social Sciences > HN Social history and conditions. Social problems. Social reform
JEL classification: D - Microeconomics > D1 - Household Behavior and Family Economics
D - Microeconomics > D3 - Distribution
I - Health, Education, and Welfare > I2 - Education > I21 - Analysis of Education
J - Labor and Demographic Economics > J3 - Wages, Compensation, and Labor Costs > J31 - Wage Level and Structure; Wage Differentials by Skill, Training, Occupation, etc.
J - Labor and Demographic Economics > J6 - Mobility, Unemployment, and Vacancies > J62 - Job, Occupational, and Intergenerational Mobility
Sets: Research centres and groups > Centre for Analysis of Social Exclusion (CASE)
Date Deposited: 01 Aug 2013 11:46
Last Modified: 20 Feb 2019 01:56
URI: http://eprints.lse.ac.uk/id/eprint/51292

Actions (login required)

View Item View Item

Downloads

Downloads per month over past year

View more statistics