The Intergenerational Income Mobility of Canadian Men

Statistics Canada Working Paper No. 89

17 Pages Posted: 21 Aug 1998

See all articles by Miles Corak

Miles Corak

Statistics Canada; University of Ottawa; IZA Institute of Labor Economics

Andrew Heisz

Government of Canada - Analytical Studies Branch

Date Written: January 24, 1996

Abstract

In this paper we use administrative data associated with the tax system to: (1) document the extent of intergenerational income mobility among Canadian men; and (2) estimate the income disadvantage (in adulthood) of being raised in a low income household. We find that there is considerable intergenerational income mobility in Canada among middle income earners, but that the inheritance of economic status is significant at both the very top and very bottom of the income distribution. About one-third of those in the bottom quartile were raised by fathers who occupied the same position in the income distribution. In fact, the income advantage of someone who had a father in the top decile over someone who had a father in the bottom decile is in the order of 40%. We also discuss some of the policy implications of these findings, as well as some of their limitations and the directions implied for future research.

JEL Classification: J31

Suggested Citation

Corak, Miles and Heisz, Andrew, The Intergenerational Income Mobility of Canadian Men (January 24, 1996). Statistics Canada Working Paper No. 89. Available at SSRN: https://ssrn.com/abstract=116908 or http://dx.doi.org/10.2139/ssrn.116908

Miles Corak (Contact Author)

Statistics Canada ( email )

Family and Labour Studies
Ottawa, Ontario K1A 0T6
Canada
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University of Ottawa

2292 Edwin Crescent
Ottawa, Ontario K2C 1H7
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IZA Institute of Labor Economics

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Andrew Heisz

Government of Canada - Analytical Studies Branch ( email )

120 Parkdale Avenue
24th Floor, R.H. Coats Building
Ottawa, Ontario K1A 0T6
Canada
613-951-3748 (Phone)
613-951-5403 (Fax)

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