| By: |
Martín Leites (IECON-UDELAR, Uruguay and EQUALITAS.);
Xavier Ramos (Department of Applied Economics, Universitat Autònoma de Barcelona, Spain; IZA and EQUALITAS.);
Cecilia Rodríguez (IECON-UDELAR, Uruguay.);
Joan Vilá (IECON-UDELAR, Uruguay.) |
| Abstract: |
We contribute to the very incipient literature that estimates the
intergenerational mobility of income from large-scale administrative data
using high-quality income data and provide novel evidence of intergenerational
income mobility in a middle-income country, Uruguay. Our estimates address the
important role of informal labor markets, one of the features of low- and
middle-income countries, and a major challenge to obtain unbiased estimates of
intergenerational mobility in these countries. We estimate an IRA of 0.292,
indicating that persistence is higher in Uruguay than in high-income
countries, but lower than in the US. Our results show that (i) informal income
increases intergenerational persistence, (ii) intergenerational persistence is
higher at the upper half of the distribution, especially at the richest
decile, and (iii) intergenerational income persistence is largest among
parents and children of the same sex. |
| Keywords: |
Intergenerational income mobility, Informal labor markets, Uruguay. |
| Date: |
2026–05 |
| URL: |
https://d.repec.org/n?u=RePEc:uab:wprdea:wpdea2603 |