The Role of Childhood Health for the Intergenerational Transmission of Human Capital: Evidence from Administrative Data

40 Pages Posted: 12 Aug 2009

See all articles by Martin Salm

Martin Salm

Tilburg University; IZA Institute of Labor Economics

Daniel Schunk

Johannes Gutenberg University Mainz - Gutenberg School of Economics and Management; University of Zurich - Department of Economics

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Date Written: August 1, 2008

Abstract

We use unique administrative German data to examine the role of childhood health for the intergenerational transmission of human capital. Specifically, we examine the extent to which a comprehensive list of health conditions – diagnosed by government physicians – can account for developmental gaps between the children of college educated parents and those of less educated parents. In total, health conditions explain 18% of the gap in cognitive ability and 65% of that in language ability, based on estimations with sibling fixedeffects. Thus, policies aimed at reducing disparities in child achievement should also focus on improving the health of disadvantaged children.

Keywords: health inequality, human capital formation, childhood health, intergenerational mobility

JEL Classification: J13, I2, I12

Suggested Citation

Salm, Martin and Schunk, Daniel, The Role of Childhood Health for the Intergenerational Transmission of Human Capital: Evidence from Administrative Data (August 1, 2008). MEA Discussion Paper No. 164-08, Available at SSRN: https://ssrn.com/abstract=1444455 or http://dx.doi.org/10.2139/ssrn.1444455

Martin Salm (Contact Author)

Tilburg University ( email )

P.O. Box 90153
Tilburg, DC Noord-Brabant 5000 LE
Netherlands

IZA Institute of Labor Economics

Schaumburg-Lippe-Str. 7 / 9
Bonn, D-53072
Germany

Daniel Schunk

Johannes Gutenberg University Mainz - Gutenberg School of Economics and Management ( email )

Mainz
Germany

University of Zurich - Department of Economics ( email )

Bluemlisalpstr. 10
Zurich, 8006
Switzerland

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