Intergenerational mobility explained

Right across the UK, students are dreaming of a better life. One where they earn more money than their parents, receive a better education, and have greater career prospects. They want intergenerational mobility.

But few know what intergenerational mobility actually is and how it’s measured. In this post, you’ll discover what intergenerational mobility means for students in 2023 - and why it matters.

What is intergenerational mobility?

Intergenerational mobility is the extent to which children's economic and social outcomes are related to those of their parents, or the generations before them. 

If there is high intergenerational mobility, children are more likely to achieve economic success, regardless of their family background.

However, if there is low intergenerational mobility, this means that individuals’ economic and social outcomes are more likely to be similar to those of their parents.

Types of intergenerational mobility 

There are two main types of intergenerational mobility: upward mobility and downward mobility

Upward mobility occurs when a child achieves a higher economic and social status than their parents. Downward mobility occurs when a child's economic and social status is lower than that of their parents.

Ideally, we want to see high upward mobility and low downward mobility. This would mean that individuals have the opportunity and are likely to improve their economic and social standing irrespective of their family background and income. 

Why is intergenerational mobility important?

  1. Provides equal opportunity

Intergenerational mobility is a key measure of equality of opportunity. If intergenerational mobility is high, it suggests that individuals have the chance to achieve economic success based on their own merit, rather than being constrained by their family background. 

However, if intergenerational mobility is low, it suggests that opportunities are not equally distributed across society, and that individuals from disadvantaged backgrounds are less likely to achieve economic success.

2. Beneficial for the economy 

Secondly, intergenerational mobility is important for economic growth and development

If individuals are not able to achieve their full potential due to their family background, this can lead to a less productive workforce and lower economic growth.

On the other hand, if individuals are able to achieve their full potential regardless of their family background, this can lead to a more productive workforce and higher economic growth.

3. Boosts wellbeing 

Greater intergenerational mobility also results in improved health and wellbeing for those that are socially mobile. 

In fact, studies have found that intergenerational social mobility can predict wellbeing throughout adulthood.

Being socially mobile was found to improve adult health and life satisfaction for those that performed better in education and had a higher social status than their parents.

This is largely because those higher in the social hierarchy are typically healthier than those below, according to research

How is intergenerational mobility measured?

Intergenerational mobility can be measured in a few different ways, usually based on: income, educational attainment, and occupations

  1. Income

The most common way to measure intergenerational mobility is based on intergenerational income elasticity (IGE)

Put simply, this measures the relationship between a parent’s income and the income their child goes on to receive. 

More specifically, the IGE measures how a 1% increase in a parent’s income impacts the income of their child later down the line.

The scale runs from zero to one, with zero indicating perfect mobility. A score of zero will mean that the child’s economic outcome isn’t related to the income of their parents.

Meanwhile, a score of one will indicate immobility, meaning that a child's economic outcome is the same as that of their parents. 

2. Educational attainment

But intergenerational mobility isn’t just about a child’s future income. It’s also about their educational attainment, which is measured using the intergenerational educational mobility (IEM) scale.

This essentially measures the extent to which a parent’s educational attainment correlates with that of their child. If a child goes on to outperform their parents academically, intergenerational mobility occurs.

However, if there’s a strong relationship between the educational attainment of a parent and their child, this suggests social immobility instead. 

3. Occupation 

People also measure intergenerational social mobility based on the occupations of both the parent and their child. This is called intergenerational occupational mobility (IOM). 

This is a popular way to look at social mobility because it ties together both the educational attainment required to get the job, and the income that the individuals receive as a result of that job. 

Broadly speaking, this way of measuring intergenerational mobility works by assessing the relationship between the occupation of a parent and the occupation of their child later.

These occupations are ranked on a variety of factors, including the skills required, the nature of the work and their salaries.

However, the main idea is that individuals that move up the occupational ladder ahead of their parents are more socially mobile, and those that stick to similar professions are less so.

What does intergenerational mobility mean for students? 

The state of intergenerational mobility in the UK affects students in a few ways, and there are a few trends to consider. 

  1. Unequal distribution of academic resources

It’s no secret that our parents’ income can determine the quality of education that we receive, and the resources available as part of this education. Wealthier families can afford private education, with these privately educated students receiving disproportionately more resources

In fact, private school fees in England are 90% higher than state school spending figures per pupil, and other research finds that the resources afforded to private school pupils are roughly three times greater than the resources afforded to state-educated students. 

This, in turn, affects the quality of education that state-educated students receive compared to privately educated students. 

Class size is the perfect example of this, because private schools have significantly smaller class sizes than state schools, and this results in more positive learning outcomes. 

According to research by the EEF, reducing the class size provides roughly two months of additional progress over the course of the academic year.

While the data here is limited, this outcome makes sense because smaller class sizes mean more frequent and detailed feedback for students, and faster learning as a result. 

2. Higher grades on average for privately educated students

Another trend is that those from more well-off families perform better academically than low income, state educated students. 

A study by IFS found that students who are eligible for free school meals perform significantly worse at every stage of school based on the qualifications they receive and other development metrics.

Given that students who receive free school meals are from families with income-related benefits, there’s a clear correlation between income and academic performance for many families.  

This attainment gap was also clear in 2021 when privately educated students in England saw 70% of A-level results being A* or A, compared to just 39% for state educated students. 

This is problematic because higher education qualifications are closely tied to better employment opportunities. In fact, research by IFS finds slower earnings growth for those with lower qualification levels. 

3. State-educated students are less likely to attend selective universities 

This trend continues into higher education, often as a result of an individual’s earlier academic performance and opportunities.

According to research, low-income students are less likely to attend selective universities than their wealthier peers.

There are a few reasons for this. One hypothesis is that individuals from disadvantaged backgrounds don’t believe they fit in at more prestigious institutions. This is an experience many working-class students share.

However, it could also be a result of disadvantaged students not having the experience or grades required to be accepted into these universities.

How can we improve intergenerational mobility?

Given what we’ve just discussed, the future can seem pretty bleak for state-educated students from low-income backgrounds. But it isn’t.

There’s so much we can do as students and professionals to improve intergenerational mobility in the UK. And we’ve already started.

At the 93% Club, we’re building a members’ club to rival some of the most exclusive and expensive clubs in the UK. We’re taking a centuries-old system and repurposing it to change society and tackle social immobility head on.

Members of the 93% club can:

  • Connect with the country’s largest community of state-educated people through our online platform and mobile app.

  • Upskill using the life-changing career advice, courses and expert lectures offered exclusively to our members.

  • Network with like-minded individuals and leading employers to make new friends and find fantastic opportunities

If you’re interested in joining the UK’s first and largest network of state-educated people, hit the button below to apply.

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