Browse
Submit Data
Databases
API
Help

Dataset Information

0 Views

0 Connections

0 Citations

0 Reanalyses

0 Downloads

Omics score: 0

Intergenerational Wealth Mobility and Racial Inequality.

ABSTRACT: The black-white gap in household wealth is large and well documented. Here, we visualize how this racial wealth gap persists across generations. Animating the flow of individuals between the relative wealth position of parents and their adult children, we show that the disadvantage of black families is a consequence both of wealth inequality in prior generations and race differences in the transmission of wealth positions across generations: Black children both have less wealthy parents on average and are far more likely to be downwardly mobile in household wealth. By displaying intergenerational movements between parental and offspring wealth quintiles, we underline how intergenerational fluctuation coexists with the maintenance of a severely racialized wealth structure.

SUBMITTER: Pfeffer FT

PROVIDER: S-EPMC6634987 | biostudies-literature | 2019 Jan-Dec

REPOSITORIES: biostudies-literature

ACCESS DATA

Json Xml

Publications

Intergenerational Wealth Mobility and Racial Inequality.

Pfeffer Fabian T FT Killewald Alexandra A

Socius : sociological research for a dynamic world 20190101

The black-white gap in household wealth is large and well documented. Here, we visualize how this racial wealth gap persists across generations. Animating the flow of individuals between the relative wealth position of parents and their adult children, we show that the disadvantage of black families is a consequence both of wealth inequality in prior generations and race differences in the transmission of wealth positions across generations: Black children both have less wealthy parents on avera ...[more]

PMID: 31312720

Similar Datasets

Intergenerational wealth transmission and the dynamics of inequality in small-scale societies.

Project description:Small-scale human societies range from foraging bands with a strong egalitarian ethos to more economically stratified agrarian and pastoral societies. We explain this variation in inequality using a dynamic model in which a population's long-run steady-state level of inequality depends on the extent to which its most important forms of wealth are transmitted within families across generations. We estimate the degree of intergenerational transmission of three different types of wealth (material, embodied, and relational), as well as the extent of wealth inequality in 21 historical and contemporary populations. We show that intergenerational transmission of wealth and wealth inequality are substantial among pastoral and small-scale agricultural societies (on a par with or even exceeding the most unequal modern industrial economies) but are limited among horticultural and foraging peoples (equivalent to the most egalitarian of modern industrial populations). Differences in the technology by which a people derive their livelihood and in the institutions and norms making up the economic system jointly contribute to this pattern.

| S-EPMC2792081 | biostudies-literature

Income Inequality and Intergenerational Income Mobility in the United States.

Project description:Is there a relationship between family income inequality and income mobility across generations in the United States? As family income inequality rose in the United States, parental resources available for improving children's health, education, and care diverged. The amount and rate of divergence also varied across US states. Researchers and policy analysts have expressed concern that relatively high inequality might be accompanied by relatively low mobility, tightening the connection between individuals' incomes during childhood and adulthood. Using data from the Panel Study of Income Dynamics, the National Longitudinal Survey of Youth, and various government sources, this paper exploits state and cohort variation to estimate the relationship between inequality and mobility. Results provide very little support for the hypothesis that inequality shapes mobility in the United States. The inequality children experienced during youth had no robust association with their economic mobility as adults. Formal analysis reveals that offsetting effects could underlie this result. In theory, mobility-enhancing forces may counterbalance mobility-reducing effects. In practice, the results suggest that in the US context, the intergenerational transmission of income may not be very responsive to changes in inequality.

| S-EPMC4569595 | biostudies-literature

Racial Inequality Trends and the Intergenerational Persistence of Income and Family Structure.

Project description:Racial disparity in family incomes remained remarkably stable over the past 40 years in the United States despite major legal and social reforms. Previous scholarship presents two primary explanations for persistent inequality through a period of progressive change. One highlights continuity: because socioeconomic status is transmitted from parents to children, disparities created through histories of discrimination and opportunity denial may dissipate slowly. The second highlights change: because family income results from joining individual earnings in family units, changing family compositions can offset individuals' changing economic chances. I examine whether black-white family income inequality trends are better characterized by the persistence of existing disadvantage (continuity) or shifting forms of disadvantage (change). I combine cross-sectional and panel analysis using Current Population Survey, Panel Study of Income Dynamics, Census, and National Vital Statistics data. Results suggest that African Americans experience relatively extreme intergenerational continuity (low upward mobility) and discontinuity (high downward mobility); both helped maintain racial inequality. Yet, intergenerational discontinuities allow new forms of disadvantage to emerge. On net, racial inequality trends are better characterized by changing forms of disadvantage than by continuity. Economic trends were equalizing but demographic trends were disequalizing; as family structures shifted, family incomes did not fully reflect labor-market gains.

| S-EPMC4598060 | biostudies-literature

Augmented wealth in Switzerland: the influence of pension wealth on wealth inequality.

Project description:Entitlements for social security and occupational pensions present a major wealth component and play a central role for financial security. However, most individual-level data lacks information on pension wealth. By linking various data sources, this contribution estimates the present value of future pension entitlements in Switzerland for statutory pensions, occupational pensions and third pillar accounts and analyses the distribution of augmented wealth, which combines pension wealth and net worth. The CH-SILC survey from 2015 is used to estimate real assets, financial assets and pension wealth of retired individuals. The pension entitlements of non-retired individuals are simulated on the basis of their earning history from administrative records following the accrual method and assuming a real discount rate of 2%. When pension wealth is added to net worth, average wealth doubles, and the Gini-coefficient declines by 26%. The equalising effect is particularly strong for social security pensions. The wealth distribution differs strongly between the three pillars of the pension system; there are also strong differences between gender and age groups. In Switzerland, wealth accumulation continues after retirement age.

| S-EPMC7651273 | biostudies-literature

Climate policies under wealth inequality.

Project description:Taming the planet's climate requires cooperation. Previous failures to reach consensus in climate summits have been attributed, among other factors, to conflicting policies between rich and poor countries, which disagree on the implementation of mitigation measures. Here we implement wealth inequality in a threshold public goods dilemma of cooperation in which players also face the risk of potential future losses. We consider a population exhibiting an asymmetric distribution of rich and poor players that reflects the present-day status of nations and study the behavioral interplay between rich and poor in time, regarding their willingness to cooperate. Individuals are also allowed to exhibit a variable degree of homophily, which acts to limit those that constitute one's sphere of influence. Under the premises of our model, and in the absence of homophily, comparison between scenarios with wealth inequality and without wealth inequality shows that the former leads to more global cooperation than the latter. Furthermore, we find that the rich generally contribute more than the poor and will often compensate for the lower contribution of the latter. Contributions from the poor, which are crucial to overcome the climate change dilemma, are shown to be very sensitive to homophily, which, if prevalent, can lead to a collapse of their overall contribution. In such cases, however, we also find that obstinate cooperative behavior by a few poor may largely compensate for homophilic behavior.

| S-EPMC3926044 | biostudies-literature

Genetic Endowments and Wealth Inequality.

Project description:We show that genetic endowments linked to educational attainment strongly and robustly predict wealth at retirement. The estimated relationship is not fully explained by flexibly controlling for education and labor income. We therefore investigate a host of additional mechanisms that could account for the gene-wealth gradient, including inheritances, mortality, risk preferences, portfolio decisions, beliefs about the probabilities of macroeconomic events, and planning horizons. We provide evidence that genetic endowments related to human capital accumulation are associated with wealth not only through educational attainment and labor income, but also through a facility with complex financial decision-making.

| S-EPMC7448697 | biostudies-literature

Beyond Net Worth: Racial Differences in Wealth Portfolios and Black-White Health Inequality across the Life Course.

Project description:A large body of research links wealth and health, but most previous work focuses on net worth. However, the assets and debts that comprise wealth likely relate to health in different and meaningful ways. Furthermore, racial differences in wealth portfolios may contribute to racial health gaps. Using longitudinal data from the Panel Study of Income Dynamics (PSID) and mixed effects growth curve models, we examined the associations between various wealth components and multiple health outcomes. We also investigated whether black-white differences in wealth portfolios contributed to racial health inequality. We found that savings, stock ownership, and homeownership consistently improve health, but debt is associated with worse health, even after adjusting for total net worth. We found little evidence that home equity is associated with health. Findings also revealed differential health returns to assets by race. These findings provide new insights into the complex relationship among race, wealth, and health.

| S-EPMC8034808 | biostudies-literature

How Wealth Inequality Shapes Our Future.

Project description:Liz, Mary, and Howard are three teenagers in the 1980s. Although unrelated, their families have much in common: stable two- parent households, at least one parent completed high school (though none of them went to college), and all three are white. They differ in one important aspect: their parents command quite different levels of wealth (here measured as net worth, that is, the total sum of financial and real assets minus debt). Liz's parents own less than $700 (inflation adjusted to 2013 dollars), meaning that Liz grows up at the bottom of the wealth distribution. Still, she is far from living in poverty thanks to her parents' annual income of about $50,000. Mary's parents have a somewhat higher income, about $70,000, but also markedly more wealth than Liz's parents: their net worth of roughly $60,000 puts them at about the national median of the time. Also unlike Liz's parents, they are homeowners. Howard is lucky enough to grow up in affluence. Not in terms of income, given that his parents have a household income of only about $40,000, but they have considerable wealth. With a net worth of nearly a quarter million dollars, Howard's parents are in the top 20 percent of wealth holders. They, too, own their home.

| S-EPMC5560613 | biostudies-literature

Entrepreneurship and the Racial Wealth Gap: The Impact of Entrepreneurial Success or Failure on the Wealth Mobility of Black and White Families.

Project description:Research has repeatedly argued that increasing the rate at which Black people start businesses could reduce the racial wealth gap between Black and white families, but increasing the rate of Black entrepreneurship may actually exacerbate the racial wealth gap, due to the economic cost associated with business closure. Using longitudinal data from the Panel Study of Income Dynamics (PSID), we find that, as past work suggests, Black-owned businesses are less likely to remain open 4 years later, compared to white-owned businesses, and that, due to this disparity, Black business owners are more likely to experience downward economic mobility and less likely to experience upward mobility, compared to their white counterparts. These results suggest that improving the rate at which Black entrepreneurs succeed, rather than increasing the rate at which Black people become entrepreneurs, should be the target of efforts to leverage business ownership to reduce the racial wealth gap.Supplementary informationThe online version contains supplementary material available at 10.1007/s41996-021-00081-6.

| S-EPMC7897735 | biostudies-literature

The Language of Inequality: Evidence Economic Inequality Increases Wealth Category Salience.

Project description:There is evidence that in more economically unequal societies, social relations are more strained. We argue that this may reflect the tendency for wealth to become a more fitting lens for seeing the world, so that in economically more unequal circumstances, people more readily divide the world into "the haves" and "have nots." Our argument is supported by archival and experimental evidence. Two archival analyses reveal that at times of greater inequality, books in the United Kingdom and the United States and news media in English-speaking countries were more likely to mention the rich and poor. Three experiments, two preregistered, provided evidence for the causal role of economic inequality in people's use of wealth categories when describing life in a fictional society; effects were weaker when examining real economic contexts. Thus, one way in which inequality changes the world may be by changing how we see it.

| S-EPMC9245161 | biostudies-literature

OmicsDI is part of the ELIXIR infrastructure

OmicsDI is an Elixir interoperability service. Learn more ›

Tweets

OmicsDI Databases

PRIDE
PeptideAtlas
MassIVE
JPOST Repository
Physiome Model Repository

EGA
EVA
ENA
LINCS
PAXDB
Cell Collective

MetaboLights
Metabolomics Workbench
MetabolomeExpress
GNPS
BioModels
FAIRDOMHub

ArrayExpress
dbGaP
ExpressionAtlas
GEO
NODE

Information

Databases
Help
API
Contact us
Code on GitHub
Terms of use
Submit Data