Human Capital Policy
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Human Capital Policy

Reducing Inequality, Boosting Mobility and Productivity

Edited by David Neumark, Yong-seong Kim and Sang-Hyop Lee

This timely book evaluates international human capital policies, offering a comparative perspective on global efforts to generate new ideas and novel ways of thinking about human capital. Examining educational reforms, quality of education and links between education and socio-economic environments, chapters contrast Western experiences and perspectives with those of industrializing economies in Asia, focusing particularly on Korea and the USA.
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Chapter 11: Intragenerational income mobility in Korea since 2000

Yong-seong Kim


Intra-generational mobility has a profound impact on social cohesion as well as on the well-being of the next generations. Focusing on the trends of income mobility, this chapter finds that income in Korea became less mobile during 2001-11. Income mobility, which used to be higher for the “less educated” than the the “more educated” in the early 2000s, has sharply declined. A decomposition approach shows that income inequality is driven by the permanent component, as opposed to the transitory one, making it harder for income to be mobile.

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