Navigation Links
Dad's Smarts May Mean More to His Son's Success Than His Money
Date:7/13/2012

By Randy Dotinga
HealthDay Reporter

THURSDAY, July 13 (HealthDay News) -- A new study suggests that a father's education and training has more to do with whether his son will make the same amount of money than whether his son inherits his wealth.

The research, based on statistics from Sweden, offers more insight into what economists call "human capital" -- the value of people in terms of work based on their various talents and skills. Economists have wondered how much people's human capital is passed down from generation to generation.

"If your goal is to benefit and increase the income in the next generation, the money spent on increasing training and education in the current generation is more effective than just transferring money to people," said study co-author David Sims, an associate professor of economics at Brigham Young University in Provo, Utah.

Connections between the incomes of fathers and daughters, mothers and daughters and mothers and sons are difficult to establish, Sims said, because researchers go back many generations in search of patterns and women then didn't work as much.

Although the role of women will get more of a focus in the future, he said, the current study looked at the issue at hand in men: Through what channels do fathers transmit their higher or lower income to their children?

The researchers examined 35 percent of boys born in Sweden between 1950 and 1965 and their fathers. They also looked at the incomes of the fathers and sons once the sons were adults.

Although Americans may think of the United States as the land of upward mobility, it is actually more difficult to move out of a family's income level here than in Scandinavian countries, Sims said.

Gary Solon, a professor of economics at Michigan State University in East Lansing, put it this way: "Among rich countries, the United States is not particularly mobile, in the sense that the correlation between parents' and offspring's income is relatively high in our country."

Sims and his colleagues found that a father's education and training were better predictors of a son's income level than factors such as inherited income.

The study didn't factor in genetics, Sims said. "We're not able to distinguish human capital due to genetics versus the change in environment that comes from being better educated."

Solon said the research is important "if you care about income inequality."

"It tells us something we ought to know about the nature of income inequality -- how much difference does it make for economic success if one comes from a rich family versus a poor family?" he said.

The study appears in a recent issue of the Journal of Political Economy.

More information

Kids.gov has more on teaching your kids about money.

SOURCES: David Sims, Ph.D., associate professor, economics, Brigham Young University, Provo, Utah; Gary Solon, Ph.D., professor, economics, Michigan State University, East Lansing; April 2012, Journal of Political Economy


'/>"/>
Copyright©2012 ScoutNews,LLC.
All rights reserved  

Related medicine news :

1. UTSA study finds ovulating women perceive sexy cads as good dads
2. Older Dads May Pass on Longevity to Kids, Study Finds
3. Anxiety Linked to Smarts in Brain Study
4. Infant Smarts Similar With Different Types of Formula: Study
5. The Attilio Group’s TAG™-Simply Faster Taps SmartSales To Accelerate Its Expansion Into National Reach
6. Interpreting the Avastin-Lucentis study for persons with macular degeneration
7. Sleep improves functioning in Parkinsons patients, but reasons remain elusive
8. Herpes Treatment Site: Top Reasons to Avoid Prescription HSV Drugs
9. 12 Reasons Why You Should Live Stream Your Next Event
10. APA task force recommends treatment guidelines and position statements on transgender persons
11. Psychological testing may predict success in soccer
Post Your Comments:
*Name:
*Comment:
*Email:
Related Image:
Dad's Smarts May Mean More to His Son's Success Than His Money
(Date:6/26/2016)... , ... June 26, 2016 , ... Brent Kasmer, a legally blind and certified personal ... personalized through a fitness app. The fitness app plans to fix the two major problems ... offer a one size fits all type program , They don’t eliminate all ...
(Date:6/25/2016)... ... 25, 2016 , ... Experts from the American Institutes for ... Meeting June 26-28, 2016, at the Hynes Convention Center in Boston. , AIR ... care planning, healthcare costs and patient and family engagement. , AIR researchers will ...
(Date:6/25/2016)... ... , ... The temporary closing of Bruton Memorial Library on June 21 due to a possible ... often overlooked aspect of head lice: the parasite’s ability to live away from a human ... but a necessary one in the event that lice have simply gotten out of control. ...
(Date:6/25/2016)... ... ... First Choice Emergency Room , the largest network of independent freestanding emergency ... its new Mesquite-Samuell Farm facility. , “We are pleased to announce Dr. Ogunleye ... M. Muzzarelli, Executive Medical Director of First Choice Emergency Room. , Dr. Ogunleye ...
(Date:6/25/2016)... Oklahoma City, Oklahoma (PRWEB) , ... June 25, ... ... to helping both athletes and non-athletes recover from injury. Recently, he has implemented ... for the Oklahoma City area —Johnson is one of the first doctors to ...
Breaking Medicine News(10 mins):
(Date:6/24/2016)... 24, 2016  Global Blood Therapeutics, Inc. (GBT) (NASDAQ: ... novel therapeutics for the treatment of grievous blood-based ... closing of its previously announced underwritten public offering ... public offering price of $18.75 per share. All ... by GBT. GBT estimates net proceeds from the ...
(Date:6/24/2016)... The Academy of Managed Care Pharmacy (AMCP) ... would allow biopharmaceutical companies to more easily share health ... and coverage decisions, a move that addresses the growing ... The recommendations address restrictions in the sharing of ... label, a prohibition that hinders decision makers from accessing ...
(Date:6/24/2016)... , June 24, 2016 ... Market by Type (Standard Pen Needles, Safety Pen Needles), ... (Insulin, GLP-1, Growth Hormone), Mode of Purchase (Retail, Non-Retail) ... MarketsandMarkets, This report studies the market for the forecast ... to reach USD 2.81 Billion by 2021 from USD ...
Breaking Medicine Technology: