NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Ethnic Capital and Intergenerational Mobility

George J. Borjas

NBER Working Paper No. 3788*
Issued in July 1991
NBER Program(s):   LS

This paper analyzes the extent to which ethnic skill differentials are transmitted across generations. I assume that ethnicity acts as an externality in the human capital accumulation process. The skills of the next generation depend on parental inputs and on the quality of the ethnic environment in which parents make their investments, or "ethnic capital." The empirical evidence reveals that the skills of today's generation depend not only on the skills of their parents, but also on the average skills of the ethnic group in the parent's generation.

*Published: Quarterly Journal of Economics, Vol. 107, no. 1 (1992): 123-150.

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