Parental Income Has Outsized Influence on Children’s Economic Future

The report, " Economic Mobility in the United States ," provides the most comprehensive assessment to date of the intergenerational transmission of economic advantage. It draws on a new data set from tax returns and other administrative sources to overcome limitations that hampered previous studies. These findings make clear that children raised in families that are far apart on the income ladder can expect markedly different economic futures.

"This analysis finds that a family’s economic circumstances play an exceptionally large part in determining a child’s economic prospects later in life," said Erin Currier, director of Pew’s financial security and mobility […]