A Study On The Measurement And Influencing Factors Of Intergenerational Income Mobility Of Chinese Households

The issue of intergenerational income mobility concerns a series of issues such as whether China’s economy can be steadily improved,society can be developed harmoniously,and whether China can overcome the "middle income trap." Higher intergenerational income mobility will promote the reuse of talents in the labor market,and further promote the residents to earn higher income through their own efforts,thereby forming a fine social atmosphere with fierce competition and abundant talents,making the society develop more harmoniously.Therefore,it is particularly important to study the intergenerational income mobility of different groups.First,this article distinguishes between the concepts of intergenerational income mobility and outlines the theory of intergenerational income mobility.Secondly,the common theoretical models are studied,the directional rank mobility coefficient method is introduced in detail,and the two-sample two-stage least squares model and multinomial logit model used in this paper are constructed.Then,we use the two-sample two-stage least squares method(TS2SLS)and the directional rank liquidity coefficient method to measure the intergenerational income liquidity in China.The results show that the coefficient of influence of the overall father’s income on the offspring’s income in China is smaller than that of the mother.The probability of intergenerational income of low-income families flowing upward is greater,and the probability of intergenerational income of high-income families flowing downward is greater.The intergenerational income mobility of urban households is much greater than that of rural areas.The intergenerational income elasticity in the eastern region is the smallest,and the central region has the largest elasticity.In addition,multinomial logit model was used to further explore the differences in the intergenerational income mobility of different groups affected by human capital,social capital,and family background.The results show that education and occupation can promote the upward flow of intergenerational income,and family background can inhibit the upward flow of intergenerational income.Rural education and occupation have a greater effect on the upward flow of intergenerational income.The education and family background in the eastern region have a greater impact on the intergenerational income mobility,while occupations in the western region have the greatest impact on the intergenerational income mobility.Finally,based on the conclusions of this paper,specific suggestions are put forward.