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• W2796184401 abstract "Intergenerational e conomic mobility goes to the heart of our understanding of fairness in society. It captures the way in which life chances are shaped by background, opportunity and effort. The degree of intergenerational economic mobility indicates the nature and characteristics of social and economic processes, suggests directions for public policies, and has important implications for social cohesion and economic efficiency. While Australia has historically been identified as a highly egalitarian society (the land of the ‘fair go’), there are growing concerns that this may no longer be the case. This thesis constitutes the first study that systematically examines the degree of intergenerational economic mobility in contemporary Australia. It contributes to the literature by laying out a conceptual framework that maps the relationship between intergenerational economic mobility and social mobility, outlining the key measures of intergenerational economic mobility, and providing new empirical evidence of the effect of family background on adult children’s economic outcomes and behaviours . I focus on three measures of intergenerational economic mobility: income mobility, wealth transfers, and the effect of family background on adult children’s financial practices. F irst, I use father - son earnings elasticities to measure intergenerational income mobility. Second, I study the effect of family background and life events of children on the probability and amount of wealth transfers from parents to children . Third, I explore the intergenerational and intragenerational determinants of adult children’s bank account choices (an important aspect of their financial practices). All analyses are undertaken using the Household, Income and Labour Dynamics in Australia Survey. This is the largest and longest running household panel survey in Australia, and is largely representative of the contemporary Australian population . These data are modelled using innovative, state - of - the - art statistical techniques for the analysis of pane l data. In my first empirical chapter, I find that the father - son earnings elasticity in Australia between 2001 and 2013 ranges from 0.11 to 0.30 (with the preferred estimates lying between 0.24 and 0.28 ). Such elasticity was found to increase over the observation window . Elasticity estimates vary depending on the level of occupational (dis)aggregation and earnings measure used : they are highest when two - digit level occupations and hourly earnings are used, and lowest when four - digit level occupations and annual earnings are used. A statistically significant correlation between earnings elasticity and Gini coefficients supports the argument that economic mobility is inversely associated with economic inequality. Results from my second empirical chapter reveal that p arental characteristics are strongly associated with the probability of adult children receiving wealth transfers from their parents. Individuals who at age 14 had parents who were employed, had not had a long - term unemployment spell, had degree - level education , worked in high - level occupations , or never separated/divorced, were more likely to receive parental wealth transfers, and to receive greater dollar amounts. The predicted probabilities and amounts of parental wealth transfers are consistently higher for adult children from middle/high socioeconomic backgrounds than for adult children from low socioeconomic backgrounds, and this pattern of advantage persists over their adult life courses. In addition, there are differences by socio economic background in wealth transfer patterns at children’s major life events. In my third and final empirical chapter I find evidence of substantial intra - generational and intergenerational impacts on partnered children’s financial practices. Within - couple bank account choices are contingent on economic factors ( e.g. personal income ) , life - course factors ( e.g. the presence of children ) , and socio - cultural factors (e.g. gender - role attitudes). Importantly, family background plays a role in influencing individuals’ bank account choices: high maternal education is an important precursor of daughters’ separate bank account ownership , and higher parental socio economic status is related to couple members’ separate banking behaviours. These findings have significant implications. In many respects, contemporary Australia may not be considered as an egalitarian society. Intergenerational income im mobility is moderate, but is growing mirroring current dynamics of economic inequality. In addition , there remains a persistent gap in parental wealth transfers by socioeconomic status over children’s life courses. This may constitute an important driver of the intergenerational transmission of (dis)advantage, and calls for further research on its flow - on consequences on life domains such as children’s cognitive and non - cognitive skills, socio economic attainment, health and wellbeing . Furthermore, my findings suggest that current trends of increased female educational attainment may result in increased financial autonomy of adult women in future Australian generations.Altogether, my thesis highlights that scholarship on intergenerational economic mobility must move beyond simple analyses of the extent of intergenerational (im)mobility, paying more attention to the mechanisms which produce and reproduce it . Gaining this knowledge is essential to devising ways of creating fairer societies in a rapidly changing macro - level environment characterised by higher education expansion, the interna tionalisation of labour markets, global economic uncertainty, and a progressive redefinition of gender roles. Younger generations will face more economic opportunities than older generations, but will do so in the face of increased economic inequalities." @default.
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• W2796184401 date "2018-01-29" @default.
• W2796184401 modified "2023-09-27" @default.
• W2796184401 title "Intergenerational economic mobility in contemporary Australia: is Australia still the land of the “fair go”?" @default.
• W2796184401 doi "https://doi.org/10.14264/uql.2018.77" @default.
• W2796184401 hasPublicationYear "2018" @default.
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