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Journal of Labor Economics Vol. 41 No. 1 2023

Education Transmission and Network Formation

Vincent Boucher1; Carlo L. Del Bello; Fabrizio Panebianco2; Thierry Verdier3,4,5; Yves Zenou

1 Université Laval · 2 University of Milan · 3 Pontifícia Universidade Católica do Rio de Janeiro · 4 Centre for Economic Policy Research · 5 Paris School of Economics

open access

Abstract

We propose a model of intergenerational transmission of education wherein children belong to either highly educated or low-educated families. Children choose the intensity of their social activities, while parents decide how much educational effort to exert. Using Add Health data, we find that, on average, children’s homophily acts as a complement to the educational effort of highly educated parents but as a substitute for the educational effort of low-educated parents. We also find that policies that subsidize kids’ socialization efforts can backfire for low-educated students because they tend to increase their interactions with other low-educated students.

DOI
10.1086/718981
Volume
41
Issue
1
Pages
129-173
Language
en
Sources
semanticscholar openalex crossref

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