The Effect Of Non-cognitive Ability On Intergenerational Income Mobility

Social mobility is the key foundation to support the sustainable and healthy development of the economic society.In the report of the 19 th National Congress of the Communist Party of China,General Secretary Xi Jinping clearly emphasized the need to "break down the defects in our system and mechanism that hinder the social mobility of labor and talents,so that everyone can work hard to get the opportunities of self-development".Human capital development has always been the source of power driving economic growth and enhancing social mobility..As an important part of human capital,the non-cognitive capabilities play an important role in the income determining function.Unfortunately,most of the current literature focus on the impact of individuals’ non-cognitive abilities on their own income growth,while ignoring the role of the non-cognitive abilities of the parents in intergenerational mobility.Based on this,this article uses a total of five rounds of China Family Panel Studies(CFPS)data from 2010 to 2018 under the framework of human capital theory and from the perspective of non-cognitive capabilities.Based on regression analysis,first adopts both intergenerational income elasticity and the transfer matrix to measure the intergenerational income mobility of residents;secondly,it focuses on exploring the influence and mechanism of the non-cognitive ability of the parents on intergenerational income.Finally,we summarizes the main conclusions of the article and proposes policy recommendations.We found that: 1.There is a certain degree of class consolidation between generations of Chinese residents.The degree of solidification of the high-income class and the low-income class is much higher than that of other classes,and the intergenerational income mobility of the middle-income class is better.2.Based on the theoretical framework of human capital,we explored the influence of the non-cognitive ability of the fathers on the intergenerational income.And it is found that the non-cognitive ability of the fathers can significantly affect the intergenerational income.On this basis,we found that the benchmark regression results are robust by the further control of the.omitted variables.3.The analysis of heterogeneity shows that the non-cognitive ability of fathers plays a significant role in urban intergenerational income and father-son intergenerational income.But this ability does not play a significant positive role in rural intergenerational income and father-daughter intergenerational income;4 Through constructing the analysis of the two intermediary variables of "family background" and "children’s education level",we found that the non-cognitive abilities of the parents can affect the offspring’s income through the factors of children’s education level and family background.Therefore,we should pay attention to the cultivation and improvement of the non-cognitive ability of the parents;guide the family to increase the human capital investment for girls,increase the investment in public resources such as education in the poor and backward rural areas;reduce the impact of family background on the income of the offspring.These are the effective measures to improve intergenerational income mobility and block the intergenerational transmission of poverty.