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  • 1.
    Hjorth-Trolle, Anders
    Linköping University, Department of Management and Engineering, The Institute for Analytical Sociology, IAS. Linköping University, Faculty of Science & Engineering. Univ Copenhagen, Denmark.
    Beliefs, parental investments, and intergenerational persistence: A formal model2018In: Rationality and Society, ISSN 1043-4631, E-ISSN 1461-7358, Vol. 30, no 1, p. 108-154Article in journal (Refereed)
    Abstract [en]

    Empirical research documents persistent socioeconomic and race gaps in parental investments in children. This article presents a formal model that describes the process through which parents beliefs about the returns on investments in children evolve over time in light of new information that they receive regarding the outcomes of past investments. The model, which is based on Bayesian learning, accounts for how parents of low socioeconomic status may come to underinvest in their children because they have false low beliefs about the returns on investments. Moreover, the model describes how beliefs are transmitted across generations, thus creating dynasties of underinvesting parents who reproduce inequalities in childrens socioeconomic outcomes. Finally, this article uses National Longitudinal Survey of Youth data to provide illustrative empirical evidence on key aspects of the proposed model. The main contribution of this article is to integrate parents beliefs about returns on investments into existing models of intergenerational transmissions.

  • 2.
    Hjorth-Trolle, Anders
    et al.
    Linköping University, Department of Management and Engineering, The Institute for Analytical Sociology, IAS. Linköping University, Faculty of Science & Engineering. University of Copenhagen.
    Asta, Breinholt
    Sociologisk Institut, University of Copenhagen.
    Forældreinvesteringer og social ulighed2017In: Social arv og social ulighed / [ed] Niels Ploug, Copenhagen: Hans Reitzels Forlag, 2017, 2, p. 45-67Chapter in book (Other academic)
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