The Intergenerational Transmission of Human Capital: Exploring the Role of Skills and Health Using Data on Adoptees and Twins

In this paper, we focus on possible causal mechanisms behind the intergenerational transmission of human capital. For this purpose, we use both an adoption and a twin design and study the effect of parents' education on their children's cognitive skills, non-cognitive skills, and health. Our results show that greater parental education increases children's cognitive and non-cognitive skills, as well as their health. These results suggest that the effect of parents' education on children's education may work partly through the positive effect that parental education has on children's skills and health.intergenerational transmission, human capital, education, health, cognitive skills, non-cognitive skills, adoptees, twins

Which Skills Matter?

Cognitive Skills, non-cognitive skills, NCDS, Schooling, Labour Market Outcomes

What determines adult cognitive skills?: Impacts of preschooling, schooling, and post-schooling experiences in Guatemala

"Most investigations into the importance and determinants of adult cognitive skills assume that (1) they are produced primarily by schooling, and (2) schooling is statistically predetermined or exogenous. This study uses longitudinal data collected in Guatemala over 35 years to investigate production functions for adult cognitive skills—that is, reading-comprehension skills and nonverbal cognitive skills—as being dependent on behaviorally determined preschooling, schooling, and post-schooling experiences. We use an indicator of whether the child was stunted (child height-for-age Z-scoreHuman capital, cognitive skills, Stunting, work experience, Development, Education, Gender, Health and nutrition,

Do sporty people have access to higher job quality ?

It is known that non-cognitive skills are an important determinant of success in life. However, their returns are not simple to measure and, as a result, only relatively few studies have dealt with this empirical question on the labour market. We consider sports practice as a way to improve or signal non-cognitive skills endowment. Therefore, the analysis of its impact on the labour market integration allows us to evaluate the returns of some specific non-cognitive skills. We test the hypothesis that sporty people -ceteris paribus- have access to higher quality of job thanks to the non-cognitive skills they have or they are supposed to have. Using objective measures of job quality, we demonstrate that being sporty does matter and that its effect cannot be award to any other extracurricular activities.Job quality, sport, non-cognitive skills.

Sports and Child Development

Despite the relevance of cognitive and non-cognitive skills for professional success, their formation is not yet fully understood. This study fills part of this gap by analyzing the effect of sports club participation, one of the most popular extra-curricular activities, on children’s skill development. Our results indicate positive effects: both cognitive skills, measured by school performance, and overall non-cognitive skills improve by 0.13 standard deviations. The results are robust when using alternative datasets as well as alternative estimation and identification strategies. The effects can be partially explained by increased physical activities replacing passive leisure activities.skill formation, non-cognitive skills, physical activity, semi-parametric estimation

Sports and Child Development

Despite the relevance of cognitive and non-cognitive skills for professional success, their formation is not yet fully understood. This study fills part of this gap by analyzing the effect of sports club participation, one of the most popular extra-curricular activities, on children's skill development. Our results indicate positive effects: both cognitive skills, measured by school performance, and overall non-cognitive skills improve by 0.13 standard deviations. The results are robust when using alternative datasets as well as alternative estimation and identification strategies. The effects can be partially explained by increased physical activities replacing passive leisure activities.skill formation, non-cognitive skills, physical activity, semi-parametric estimation

What Determines Adult Cognitive Skills? Impacts of Pre-Schooling, Schooling and Post-Schooling Experiences in Guatemala

Most investigations of the importance of and the determinants of adult cognitive skills assume that (a) they are produced primarily by schooling and (b) schooling is statistically predetermined. But these assumptions may lead to misleading inferences about impacts of schooling and of pre-schooling and post-schooling experiences on adult cognitive skills. This study uses an unusually rich longitudinal data set collected over 35 years in Guatemala to investigate production functions for adult (i) reading-comprehension and (ii) nonverbal cognitive skills as dependent on behaviorally-determined pre-schooling, schooling and post-schooling experiences. Major results are: (1) Schooling has significant and substantial impact on adult reading comprehension (but not on adult nonverbal cognitive skills)—but estimates of this impact are biased upwards substantially if there are no controls for behavioral determinants of schooling in the presence of persistent unobserved factors such as genetic endowments and/or if family background factors that appear to be correlated with genetic endowments are included among the first-stage instruments. (2) Both pre-schooling and post-schooling experiences have substantial significant impacts on one or both of the adult cognitive skill measures that tend to be underestimated if these pre- and post-schooling experiences are treated as statistically predetermined—in contrast to the upward bias for schooling, which suggests that the underlying physical and job-related components of genetic endowments are negatively correlated with those for cognitive skills. (3) The failure in most studies to incorporate pre- and post-schooling experiences in the analysis of adult cognitive skills or outcomes affected by adult cognitive skills is likely to lead to misleading over-emphasis on schooling relative to these pre-and post-schooling experiences. (4) Gender differences in the coefficients of the adult cognitive skills production functions are not significant, suggesting that most of the fairly substantial differences in adult cognitive skills favoring males on average originate from gender differences in schooling attainment and in experience in skilled jobs favoring males. These four sets of findings are of substantial interest in themselves. But they also have important implications for broader literatures, reinforcing the importance of early life investments in disadvantaged children in determining adult skills and options, pointing to limitations in the cross-country growth literature of using schooling of adults to represent human capital, supporting hypotheses about the importance of childhood nutrition and work complexity in explaining the “Flynn effect” of substantial increases in measured cognitive skills over time, and questioning the interpretation of studies that report productivity impacts of cognitive skills without controlling for the endogeneity of such skills.

Do Better Schools Lead to More Growth? Cognitive Skills, Economic Outcomes, and Causation

We provide evidence that the robust association between cognitive skills and economic growth reflects a causal effect of cognitive skills and supports the economic benefits of effective school policy. We develop a new common metric that allows tracking student achievement across countries, over time, and the within-country distribution. Extensive sensitivity analyses of cross-country growth regressions generate remarkably stable results across specifications, time periods, and country samples. In addressing causality, we find, first, significant growth effects of cognitive skills when instrumented by institutional features of school systems. Second, homecountry cognitive-skill levels strongly affect the earnings of immigrants on the U.S. labor market in a difference-in-differences model that compares home country-educated to U.S.-educated immigrants from the same country of origin. Third, countries that improved their cognitive skills over time experienced relative increases in their growth paths. From a policy perspective, the shares of basic literates and high performers have independent significant effects on growth that are complementary to each other, and the high-performer effect is larger in poorer countries.Human Capital, Economic Growth, Productivity, Education, Cognitive Skills

The Intergenerational Transmission of Cognitive and Non-Cognitive Skills During Adolescence and Young Adulthood

This study examines cognitive and non-cognitive skills and their transmission from parents to children as one potential candidate to explain the intergenerational link of socio-economic status. Using representative data from the German Socio-Economic Panel Study, we contrast the impact of parental cognitive abilities (fluid intelligence, crystallized intelligence) and personality traits (Big Five, locus of control) on their adolescent and young adult children's traits with the effects of parental background and childhood environment. While for both age groups intelligence and personal traits were found to be transmitted from parents to their children, there are large discrepancies with respect to the age group and the type of skill. The intergenerational transmission effect was found to be relatively small for adolescent children, with correlations between 0.12 and 0.24, whereas the parent-child correlation in the sample of adult children was between 0.19 and 0.27 for non-cognitive skills, and up to 0.56 for cognitive skills. Thus, the skill gradient increases with the age of the child. Furthermore, the skill transmission effects are virtually unchanged by controlling for childhood environment or parental education, suggesting that the socio-economic status of the family does not play a mediating role in the intergenerational transmission of intelligence and personality traits. The finding that non-cognitive skills are not as strongly transmitted as cognitive skills, suggests that there is more room for external (non-parental) influences in the formation of personal traits. Hence, it is more promising for policy makers to focus on shaping children's non-cognitive skills to promote intergenerational mobility. Intergenerational correlations of cognitive skills in Germany are roughly the same or slightly stronger than those found by previous studies for other countries with different institutional settings. Intergenerational correlations of non-cognitive skills revealed for Germany seem to be considerably higher than the ones found for the U.S. Hence, skill transmission does not seem to be able to explain cross-country differences in socio-economic mobility.cognitive abilities, personality, intergenerational transmission, skill formation

Spite and Cognitive Skills in Preschoolers

Although spiteful preferences play a crucial role in the development of human large-scale cooperation, there is little evidence on spiteful behavior and its determinants in children. We investigate the relationship between children's cognitive skills and spiteful behavior in a sample of 214 preschoolers aged 5-6 and their mothers. Other-regarding behavior of both mothers and children is elicited through four simple allocation decisions. A key advantage of our study is that it is carried out in a household context. Therefore, we have information about both the child's and mother's cognitive and noncognitive skills as well as health and household characteristics. We find that higher cognitive skills are associated with more spiteful behavior in children. This relationship is even more pronounced among boys and possibly reflects differences in competitiveness. Moreover, we find further gender differences depending on the measure of cognitive skills and the degree of spite. These results shed light on the determinants of the development of other-regarding preferences in humans.Spite, other-regarding preferences, cognitive skills, child experiments, household survey studies