Social mobility - US v. Europe
Thanks to my friend Ariel for sending me this article.
It comes from the Economist, May 25th 2006 (yeah, it's a little old). Unfortunately, the article is only available in the print version (or online with a subscription), so here's a synopsis:
Citing a couple of new studies, the author points out that people in European countries - especially those in Scandinavia - have more social mobility than their counterparts in the US. The studies compared the earnings of men in their mid 40s to that of their fathers and found that, compared to Americans, fewer men in Europe stayed in the same income quintile as their fathers (although the article doesn't say if their earnings were higher or lower). Social mobility is roughly the same for those in the middle class regardless of country, but, significantly, for men born in the poorest category (where the only way to go is up), about three quarters of the Scandinavians studied had moved up the economic ladder compared to only half of Americans.
It was generally assumed that economic flexibility - characterized by low taxes, liberal labor policies, and fewer government interventions - meant more social mobility, but it appears that the opposite is true: Europe is economically inflexible but socially mobile. "Whence this strange combination?" asks the Economist. Part of the explanation appears be obvious: European countries' redistributive tax and welfare policies aim to help children of the poor do better than their parents. The other part of the explanation seems to lie in educational quality. In general countries with better schools have more social mobility. Though the schools in Germany and Italy aren't as good as those in Sweden, they are better than ours here in the US, hence more mobility.
The Economist sums up: "For Europe, the secrets of greater social mobility are, first, tough redistribution policies that particularly benefit those at the bottom; and, especially in Nordic countries, a more supple and less class-ridden education system, running from top to bottom. America could learn something from that."
Zing.
I'd be interested in extending this study back a couple hundred years to see if social mobility in the US has changed over time.
It comes from the Economist, May 25th 2006 (yeah, it's a little old). Unfortunately, the article is only available in the print version (or online with a subscription), so here's a synopsis:
Citing a couple of new studies, the author points out that people in European countries - especially those in Scandinavia - have more social mobility than their counterparts in the US. The studies compared the earnings of men in their mid 40s to that of their fathers and found that, compared to Americans, fewer men in Europe stayed in the same income quintile as their fathers (although the article doesn't say if their earnings were higher or lower). Social mobility is roughly the same for those in the middle class regardless of country, but, significantly, for men born in the poorest category (where the only way to go is up), about three quarters of the Scandinavians studied had moved up the economic ladder compared to only half of Americans.
It was generally assumed that economic flexibility - characterized by low taxes, liberal labor policies, and fewer government interventions - meant more social mobility, but it appears that the opposite is true: Europe is economically inflexible but socially mobile. "Whence this strange combination?" asks the Economist. Part of the explanation appears be obvious: European countries' redistributive tax and welfare policies aim to help children of the poor do better than their parents. The other part of the explanation seems to lie in educational quality. In general countries with better schools have more social mobility. Though the schools in Germany and Italy aren't as good as those in Sweden, they are better than ours here in the US, hence more mobility.
The Economist sums up: "For Europe, the secrets of greater social mobility are, first, tough redistribution policies that particularly benefit those at the bottom; and, especially in Nordic countries, a more supple and less class-ridden education system, running from top to bottom. America could learn something from that."
Zing.
I'd be interested in extending this study back a couple hundred years to see if social mobility in the US has changed over time.
posted by Will at 11:10 PM
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