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While rising house prices benefit existing homeowners, we document a new channel through which price shocks have intergenerational wealth effects. Using panel data from school zones within a large U.S. school district, we find that higher local house prices lead to improvements in local school...
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used. We also find that the financial resources of parents compensate in part for nonmonetary inputs to child human capital … such as the stability of the family and education of parents. We interpret our estimates using the technology of skill …
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some evidence of a causal relationship between parents’ and children’s education. The magnitude of the estimated effect is …
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