This paper presents evidence for a new propagation mechanism of wealth inequality. Motivated by cross-country survey evidence, it uses unique administrative microdata and a quasifield experiment of exogenous assignment to test the hypothesis that, in the presence of significant opportunities for wealth mobility, the more educated respond to greater wealth inequality at the start of economic life by taking more financial, real, and self-employment risks and achieving higher wealth, thereby propagating wealth inequality. We find no evidence for alternative channels of propagation through labor income, unemployment risk, or human capital investment, nor for inspiration, imitation, or learning from the rich.

Netspar, Network for Studies on Pensions, Aging and Retirement, is een denktank en kennisnetwerk. Netspar is gericht op een goed geïnformeerd pensioendebat.


Missie en strategie           •           Netwerk           •           Organisatie           •          Podcasts
Board Brief            •            Werkprogramma 2023-2027           •           Onderzoeksagenda


Onze partners

B20160708_university of groningen
B20211201_Cardano_Logo 2021_website
AFM logo 2023 zwart wit
Bekijk al onze partners