Summary
Using data from the German Socioeconomic Panel (GSOEP), the study analyzes the direct and indirect effects of parental background on employees' earnings. To examine indirect effects we estimate the determinants of the employees' years of schooling. In a second step, we run wage regressions to examine direct effects. Our results suggest that the direct and indirect effects of parental background driving the intergenerational correlation of socioeconomic status are complex. It is not only important to differentiate between mother's and father's education. It is also important to take into account other parental characteristics such as maternal labor force participation and the parents' occupational status and fertility. Moreover, we find that interaction effects play an important role. The returns to schooling depend on the employees' parental background.
© 2008 by Lucius & Lucius, Stuttgart
Articles in the same Issue
- Inhalt
- Contributions to Labormetrics: Guest Editorial
- Abhandlungen / Original Papers
- Two-Sided Learning with Applications to Labor Turnover and Worker Displacement
- Wages, Hours and Human Capital Over the Life Cycle
- The Phillips Curve and NAIRU Revisited: New Estimates for Germany
- The Aging of the Unions in West Germany, 1980–2006
- The Causes and Consequences of Adopting a Works Council
- Company-Level Pacts for Employment
- Parental Background and Earnings: German Evidence on Direct and Indirect Relationships
- Relative Demand and Supply of Skills and Wage Rigidity in the United States, Britain, and Western Germany
- The Effects of Active Labor Market Programs in Germany: An Investigation Using Different Definitions of Non-Treatment
- Dynamic Panel Data Models with Spatial Correlation
- Assessing the Rationality of Survey Expectations: The Probability Approach
- Measuring Research Intensity from Anonymized Data: Does Multiplicative Noise with Factor Structure Save Results Regarding Quotients?
- Buchbesprechung / Book Review
Articles in the same Issue
- Inhalt
- Contributions to Labormetrics: Guest Editorial
- Abhandlungen / Original Papers
- Two-Sided Learning with Applications to Labor Turnover and Worker Displacement
- Wages, Hours and Human Capital Over the Life Cycle
- The Phillips Curve and NAIRU Revisited: New Estimates for Germany
- The Aging of the Unions in West Germany, 1980–2006
- The Causes and Consequences of Adopting a Works Council
- Company-Level Pacts for Employment
- Parental Background and Earnings: German Evidence on Direct and Indirect Relationships
- Relative Demand and Supply of Skills and Wage Rigidity in the United States, Britain, and Western Germany
- The Effects of Active Labor Market Programs in Germany: An Investigation Using Different Definitions of Non-Treatment
- Dynamic Panel Data Models with Spatial Correlation
- Assessing the Rationality of Survey Expectations: The Probability Approach
- Measuring Research Intensity from Anonymized Data: Does Multiplicative Noise with Factor Structure Save Results Regarding Quotients?
- Buchbesprechung / Book Review