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We present a model of endogenous schooling and earnings to isolate the causal effect of parents' education on children …'s education and earnings outcomes. The model suggests that parents' education is positively related to children's earnings, but … regressing children's schooling on parents' schooling is mainly accounted for by the correlation between parents' schooling and …
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comparative advantages in math of parents are significantly linked to those of their children. A causal interpretation follows … quality. Finally, we show the strong influence of family skill transmission on children's choices of STEM fields …
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