Misperceptions of Mobility
Research Spotlight on article: "Intergenerational Mobility and Preferences for Redistribution."Offsite Alberto Alesina, Stefanie Stantcheva, and Edoardo Teso. American Economic Review, February 2018, vol. 108, no. 2, pp. 521-554.
Tuition, jobs, or housing: what's keeping millennials at home?
This paper documents marked changes in young Americans? residence choices over the past fifteen years, with recent cohorts delaying homeownership and lingering much longer in parents? households. To understand the sources and implications of this decline in independence, we estimate the contributions of local economic circumstances to the decision to live with parents or independently. Transition models, local aggregates, and state-cohort tuition patterns are used to address the likely presence of individual- and neighborhood-level unobserved heterogeneity. Employment and housing market ...
Land of Opportunity: Economic Mobility in the United States
Authors Jessie Romero and Kartik Athreya interpret data that suggest economic mobility has decreased in recent years. Many factors contribute to mobility, but for most people advancement depends on opportunities to obtain human capital---opportunities that are not as good for children in poor families. Initiatives that focus on early childhood education seem to yield high returns on investment. Their feasibility on a large scale is unknown, but they may have the potential to help the United States achieve a more inclusive prosperity.
The Effects of Gentrification on the Well-Being and Opportunity of Original Resident Adults and Children
We use new longitudinal census microdata to provide the first causal evidence of how gentrification affects a broad set of outcomes for original resident adults and children. Gentrification modestly increases out-migration, though movers are not made observably worse off and neighborhood change is driven primarily by changes to in-migration. At the same time, many original resident adults stay and benefit from declining poverty exposure and rising house values. Children benefit from increased exposure to higher-opportunity neighborhoods, and some are more likely to attend and complete ...
Intergenerational Health Mobility in the US
Studies of intergenerational mobility have largely ignored health despite the central importance of health to welfare. We present the first estimates of intergenerational health mobility in the US by using repeated measures of self-reported health status (SRH) during adulthood from the PSID. Our main finding is that there is substantially greater health mobility than income mobility in the US. A possible explanation is that social institutions and policies are more effective at disrupting intergenerational health transmission than income transmission. We further show that health and income ...
Inequality in Skills and the Great Gatsby Curve
This article presents evidence relating cross-country differences in intergenerational mobility to differences in inequality of skills.
The Intrinsic Value of Inclusive Growth
Philadelphia Fed President Patrick Harker outlined the goals of the Bank?s Economic Growth & Mobility Project during his keynote address to the Pennsylvania Economic Association?s annual meeting in Reading, PA. ?Inclusive growth is good for the overall economy,? he said
Landlords and Access to Opportunity
Despite being eligible for use in any neighborhood, housing choice vouchers tend to be redeemed in low-opportunity neighborhoods. This paper investigates how landlords contribute to this outcome and how they respond to efforts to change it. We leverage a policy change in Washington, DC, that increased voucher rental payments only in high-rent neighborhoods. Using two waves of a correspondence experiment that bracket the policy change, we show that most opportunity landlords screen out prospective voucher tenants, and we detect no change in average screening behavior after a $450 per month ...
Landlords and Access to Opportunity
Landlords in high-opportunity neighborhoods screen out tenants using vouchers. In our correspondence experiment, signaling voucher status cuts landlord responses in half. This voucher penalty increases with posted rent and varies little with signals of tenant quality and race. We repeat the experiment after a policy change and test how landlords respond to raising voucher payment limits by $450 per month in high-rent neighborhoods. Most landlords do not change their screening behavior; those who do respond are few and operate at small scale. Our results suggest a successful, systematic policy ...
Weather, Social Distancing, and the Spread of COVID-19
Using high-frequency panel data for U.S. counties, I estimate the full dynamic response of COVID-19 cases and deaths to exogenous movements in mobility and weather. I find several important results. First, weather and mobility are highly correlated and thus omitting either factor when studying the COVID-19 effects of the other is likely to result in substantial omitted variable bias. Second, temperature is found to have a negative and significant effect on future COVID-19 cases and deaths, though the estimated effect is sensitive to which measure of mobility is included in the regression. ...