Colag ossi, Ma co; Deiana, Claudio; Ge aci, And ea; Giua, Ludo ica; Mazza ella,
Gianluca
Wo king Pape
Sibling co ela ions and in e gene a ional mobili y ac oss
immig an g oups
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Sibling Co ela ions and In e gene a ional
Mobili y ac oss Immig an G oups
Colag ossi, M., Deiana, C., Ge aci A., Giua L.,
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Economics and Finance, 2024/4, Eu opean Commission, Isp a, I aly, 2024, JRC138162
Sibling Co ela ions and In e gene a ional Mobili y
ac oss Immig an G oups
Ma co Colag ossi1, Claudio Deiana1,2,3, And ea Ge aci∗1,4, Ludo ica Giua1,2, and Gianluca
Mazza ella1,5
1Eu opean Commission, Join Resea ch Cen e (JRC)
2Uni e si y o Caglia i and CRENoS
3IZA
4Uni e si y o Pa ia
5Uni e si y o Milan
Abs ac
We s udy immig an assimila ion in e ms o ea nings dynamics and pa e ns o in e gen-
e a ional ansmission in pe manen ea nings by immig an gene a ion and neighbo hood
seg ega ion le els. We es ima e compa able sibling co ela ions ac oss na i e and immi-
g an g oups, bu hese seem o be explained by di e en ac o s. As immig an s assimila e,
hei in e gene a ional ansmission mechanisms also become simila o na i es. Howe e ,
less assimila ed immig an s expe ience weake ea nings ansmission, a highe pe sis ence o
neighbo hood e ec s, and a slowe assimila ion ajec o y.
Keywo ds: Immig an assimila ion; Sibling co ela ion; In e gene a ional ansmission;
Seg ega ion.
JEL codes: J15; J61; J62.
∗Co esponding au ho : and ea.ge aci@unip .i
Opinions exp essed he ein a e hose o he au ho s only and do no e lec he iews o , o in ol e any esponsibili y
o , he ins i u ions o which hey a e a ilia ed. Any e o s a e he aul o he au ho s only.
1
1 In oduc ion
Upon a i al in a hos coun y, immig an s ypically expe ience wo se economic pe o mance
han na i es. They o en wo k in low-skill, low-income jobs, eside in socioeconomically o
e hnically seg ega ed neighbo hoods, and come ac oss lea ning and language di icul ies. These
disad an ages end o be passed upon hei o sp ing (Bo jas,1993;Dus mann,2008;Liebig &
Widmaie ,2009;Algan e al.,2010). Gi en he subs an ial and g owing p opo ion o immig an s
in many coun ies, hei con ibu ion o he hos economy, and he po en ial challenges hey ace,
i is c i ical o unde s and wha d i es he immig an -na i es gap in socio-economic s a us and
i s pe sis ence ac oss gene a ions. This is especially impo an when designing immig a ion
policies ha aim a os e ing immig an assimila ion in he hos coun y.
The deg ee o associa ion be ween he social s a us o di e en membe s o he same house-
hold has been ex ensi ely used in he li e a u e o in es iga e he ole o amily backg ound in
he dis ibu ion o social and economic ou comes. Following he seminal con ibu ion o Becke
& Tomes (1976,1979), signi ican a en ion has been de o ed o he analysis o e ical ela ions.
This en ails in es iga ing he ansmission o social s a us om pa en s o o sp ing, commonly
e e ed o as in e gene a ional co ela ion (IGC).
A he same ime, se e al au ho s ha e looked a ho izon al ela ionships and, in pa icula ,
a sibling co ela ions. A ele an ea u e o sibling co ela ion in income is ha , ei he h ough
i s decomposi ion o es ima ing i join ly wi h pa en al income, i pe mi s o es ima e he
impo ance o he in e gene a ional ansmission o pe manen income sepa a ely om o he
ac o s ha siblings sha e bu a e o hogonal o pa en al income. Sibling co ela ion is o en
desc ibed as an omnibus measu e o amily backg ound (e.g., pa en al esou ces, aspi a ions,
and cul u al inhe i ance) and communi y e ec s, such as school quali y, sibling in e ac ions, and
neighbo hood and ne wo k in luences (Bj¨o klund e al.,2002;Mazumde ,2011;J¨an i & Jenkins,
2015).1The idea is ha i amily and communi y backg ound ha e li le e ec on economic
ou comes, siblings will exhibi oughly he same esemblance as would a andomly d awn pai
o indi iduals om he same bi h coho (Solon,1999). Thus, i inequali ies ac oss g oups
exis , measu ing sibling co ela ion can help o iden i y he ex en o which hese inequali ies
a e pe pe ua ed by di e ences in amily and communi y cha ac e is ics (Solon e al.,1991;
Bj¨o klund e al.,2004;J¨an i & Jenkins,2015;Bj¨o klund & J¨an i,2020).
We exploi his app oach o s udy he ea nings dynamics and he deg ee o in e gene a-
ional pe sis ence o immig an s. Speci ically, we seek o add ess he ollowing ques ions: do
immig an s exhibi simila le els o sibling co ela ion o na i es, and is hei deg ee o in e gen-
e a ional mobili y compa able? And do pa e ns o in e gene a ional ansmission e ol e ac oss
gene a ions? Ou esul s sugges ha sibling co ela ions a e simila ac oss g oups bu his is
1F om a policy pe spec i e, i is key o unde s and ( ela i e) social mobili y (i.e., in e gene a ionally ans-
mi ed inequali y) and he ac oss-coun y di e ences ha a e obse ed. In his con ex , sibling co ela ions allow
o es ima e how much o he obse ed inequali y can be explained by all he ac o s ha a e sha ed by siblings –
hence beyond income.
2
due o he e ogeneous pa e ns o in e gene a ional ansmission ac oss immig an g oups and
ac oss gene a ions, which implies he exis ence o di e en assimila ion dynamics.
Models es ima ing he impo ance o amily backg ound ypically assume ha he in e gen-
e a ional ansmission p ocess is homogeneous ac oss amilies (e.g., Solon e al.,1991;Bj¨o klund
e al.,2002,2009;Le ine & Mazumde ,2007;Mazumde ,2008;Bj¨o klund e al.,2010). These
s udies usually ind highe le els o sibling co ela ion in he Uni ed S a es (namely, 0.40–0.50)
compa ed o Eu opean No dic coun ies ( anging om 0.14 o 0.26), and ha amily backg ound
has limi ed weigh on he sibling co ela ion. Fo ins ance, Bj¨o klund & J¨an i (2009) es ima e
ha he in e gene a ional componen accoun s o only 6% o he sibling co ela ion in Denma k.
By elaxing such assump ion and o malising a he e ogeneous in e gene a ional ansmission p o-
cess, Bingley & Cappella i (2019) ecen ly showed ha he ole o amily backg ound may be
mo e signi ican han p e ious s udies indica e. Using Danish adminis a i e da a, hey ound
a sibling co ela ion o 0.22, which o igina es mos ly om he in e gene a ional ansmission
p ocess (72%).
The use o a mo e gene al model, which elaxes he assump ion ha he in e gene a ional
ac o o he sibling e ec is no a ixed p opo ion bu a ies ac oss amilies, may be e sui
immig an assimila ion p ocesses, gi en he documen ed ole o amily-speci ic ac o s in in e -
gene a ional pe sis ence such as pa en al age a mig a ion (Bleakley & Chin,2008), in e e hnic
ma iages ( an Ou s & Veenman,2010), in en ion o e u n o he coun y o o igin (Dus mann,
2008), e c. In addi ion, e hnic capi al migh play a ole in he pe sis ence o inequali ies ac oss
mul iple gene a ions (Bo jas,1992;Gang & Zimme mann,2000). In pa icula , di e ences in
a e age ea nings be ween g oups may pe sis o e se e al gene a ions because he pe o mance
o he o sp ing will also depend on sou ce-coun y cha ac e is ics (Bo jas,1993). Mo eo e ,
he esul s by Bingley & Cappella i (2019) may imply ha some immig an s may ake longe
o assimila e, as in e gene a ional mobili y may be lowe han wha is ypically belie ed in he
li e a u e.
In his pape , we exploi ull-popula ion Du ch adminis a i e da a ac oss h ee gene a ions
o es ima e sibling co ela ions in pe manen income and o unde s and he ela i e weigh o he
in e gene a ional and he esidual componen s in he sibling co ela ion in pe manen ea nings
ac oss di e en e hnic sub-g oups. Ou analysis elies on a model assuming a he e ogeneous
in e gene a ional income ansmission p ocess (Bingley & Cappella i,2019;Bingley e al.,2021),
bu we also p o ide esul s based on a model assuming homogenei y ac oss amilies (Solon
e al.,1991;Bj¨o klund e al.,2010). We hen examine di e ences ac oss immig a ion coho s
o s udy whe he hese change o e ime depending on he immig an gene a ion and explo e
he e ogenei ies based on income and e hnic seg ega ion in he a ea o esidence.
We conside he na i e Du ch popula ion and he h ee la ges immig an g oups in he
Ne he lands, namely, hose a i ing om o ha ing ances o s in: (i) Eu opean (EU-15) coun-
ies; (ii) he o me Du ch colonies (Indonesia, Su iname, and he An illes); (iii) Tu key and
3
Mo occo.2While each o hese g oups accoun s o oughly 5% o he cu en Du ch popula ion,
hey di e subs an ially in e ms o immig a ion his o y and assimila ion p ocess.
We es ima e compa able le els o sibling co ela ion ac oss e hnic g oups (0.298–0.315).
Mo eo e , wi h espec o Du ch na i es, immig an s o Eu opean and o me -colonies o igin
seem o exhibi a highe deg ee o in e gene a ional ansmission, while o immig an s om
Tu key and Mo occo his only accoun s o hal o he sibling co ela ion. We ind a simila
pa e n when es ima ing IGC: while IGC o na i es is 0.225, IGC o immig an s om Tu key
and Mo occo is only 0.163, and IGC o o he immig an g oups anges be ween 0.250 and 0.232.3
Nex , we es ima e sibling co ela ion by e hnic g oup and immig a ion gene a ion sepa a ely,
o unde s and whe he he in e gene a ional ansmission mechanism changes ac oss gene a ions,
as immig an s become mo e assimila ed o he hos coun y. Indeed, he sibling co ela ion
o i s -gene a ion immig an s is sligh ly lowe han na i es. Second-gene a ion immig an s,
on he o he hand, align o na i es. As o he ole o pa en al income, we obse e lowe
pa en al ea nings ansmission o all i s -gene a ion immig an sub-g oups. This gap, howe e ,
disappea s when second-gene a ion immig an s a e compa ed o Du ch na i es, wi h he sole
excep ion o immig an s om Tu key and Mo occo.
Ou esul s p o ide e idence o an assimila ion p ocess in he in e gene a ional ansmis-
sion mechanism o immig an s bu also highligh he exis ence o s a k he e ogenei ies ac oss
immig an g oups. Thus, we u he in es iga e po en ial channels o unde s and whe he sib-
ling co ela ions and he ole played by he amily componen di e ac oss communi y-speci ic
cha ac e is ics. We exploi he ichness o ou da a and compu e measu es o income and e hnic
seg ega ion based on he app oach by Che y e al. (2014) using in o ma ion abou he neighbo -
hood o he pa en al household when he siblings we e g owing up. Ou e idence implies ha
he ela i e impo ance o he pa en al componen o he income ansmission p ocess and he
immig an assimila ion dynamics a e ela ed o neighbo hood cha ac e is ics like he deg ee o
income and e hnic seg ega ion. We obse e ha immig an s whose pe sis ence o neighbo hood
s a us ac oss gene a ions is mo e p onounced ollow a slowe assimila ion ajec o y. Fo hem,
pa en al ansmission no longe domina es in explaining sibling co ela ions in ea nings, and
his occu s especially a high le els o seg ega ion.
Wi h his pape , we show he exis ence o he e ogeneous pa e ns in he in e gene a ional
ansmission o pe manen ea nings ac oss immig an s. To ou knowledge, he only analysis
using sibling co ela ion in he con ex o he immig an sub-popula ion is he one by Schni zlein
(2012), which elies on he homogenei y assump ion and inds an a e age sibling co ela ion o
0.26 among second-gene a ion immig an s in Denma k and o 0.17 among Danish na i es. We
ex end ou con ibu ion o analysing sibling co ela ions ollowing he ecen app oach by Bingley
2EU-15 coun ies a e Belgium, Denma k, Ge many, Finland, F ance, G eece, I eland, I aly, Luxembou g,
Aus ia, Po ugal, Spain, he Uni ed Kingdom and Sweden. Tu key and Mo occo a e sou ce coun ies o a
subs an ial popula ion o gues wo ke s in he Ne he lands.
3Sibling co ela ions a e sligh ly la ge han hose es ima ed by Bingley & Cappella i (2019) in Denma k,
bu he sha e explained by pa en al income is in line wi h hei es ima es (be ween 50 and 90 pe cen ).
4
& Cappella i (2019) and es ima e he impo ance o he in e gene a ional ac o s in sibling
co ela ions. We also add o he li e a u e by looking in o he e ogenei ies ac oss immig an
gene a ions and a ea-speci ic e hnic and income seg ega ion le els.
The emainde o his pape is s uc u ed as ollows. In Sec ion 2we b ie ly discuss he
heo e ical models in he li e a u e. In Sec ion 3we desc ibe he ecen immig a ion his o y
o he Ne he lands and he da a used in he analysis. Sec ion 4p esen s he main esul s,
while Sec ion 5 epo s he e ogeneous esul s by immig an gene a ion and ac oss neighbo hood-
speci ic cha ac e is ics. Sec ion 6concludes.
2 In e gene a ional ansmission p ocesses
Sibling co ela ions cap u e he in luence o ac o s ha siblings sha e in hei socio-economic
s a us (mos o en hei ea nings). These in luences o igina e bo h om in e gene a ional ac o s
and o he componen s o hogonal o hem. Models o sibling co ela ions assume log ea nings
in de ia ion om he mean (w) a ime o indi idual iin amily jas he sum o a pe manen
componen (y) and an o hogonal, whi e noise, ansi o y shock ( ):
wij =yij + ij , ij ∼N(0, σ2
) (1)
The pe manen componen is hen di ided in o wo pa s: j ep esen s he componen
sha ed by he siblings and aij cap u es he indi idual-speci ic de ia ion om j(i.e. a componen
unique o he indi idual i):
yij =aij + j, aij ∼N(0, σ2
a), j∼N(0, σ2
) (2)
Gi en ha he amily componen jand he indi idual-speci ic componen aij a e o hogonal,
in he long un he income a iance is he sum o hei a iances (Solon e al.,1991). The e o e,
he sibling co ela ion can be explained as:
S=σ2
σ2
+σ2
a
.(3)
He e, Scan be hough o as a comp ehensi e measu e o amily backg ound and com-
muni y e ec s (Bj¨o klund e al.,2002;Mazumde ,2011;J¨an i & Jenkins,2015). I con ains
in e gene a ional componen s, such as pa en al income, cul u al inhe i ance, and pa en al-d i en
communi y e ec s, as well as indi idual-speci ic componen s, e.g., gene ic ai s no sha ed by
he siblings, ime-speci ic communi y e ec s, and di e ences in pa en al in ol emen in he
o sp ing’s educa ion. No all amily and communi y e ec s a e cap u ed by he sibling co -
ela ions. Indeed, all ac o s no sha ed by he sibling, such as changes ac oss ime in school
and neighbo hood quali y, di e ences in pa en al in ol emen in he o sp ing’s educa ion, and
idiosync a ic gene ic ai s a e no cap u ed by sibling co ela ions. Thus, sibling co ela ions
5
may unde es ima e he impo ance o amily backg ound and communi y e ec (Bj¨o klund &
J¨an i,2020).
Es ima ing he deg ee o which Sis d i en by in e gene a ional componen s does no only
help o unde s and he channels behind be ween- amily di e ences bu also he ole o o he ac-
o s such as neighbo hood and ne wo k e ec s (Benabou,1994;Du lau ,1994;Che y e al.,2014;
Che y & Hend en,2018a). The in e gene a ional componen is usually es ima ed ei he h ough
ANOVA (Solon e al.,1991;Bj¨o klund e al.,2002), gene alized me hod o momen s (Bj¨o klund
e al.,2009) o mixed models ia es ic ed maximum likelihood (Le ine & Mazumde ,2007;
Mazumde ,2008;Bj¨o klund e al.,2010).
These models ha e di e en unde lying assump ions in e ms o s a iona i y and he o m o
he dis ibu ion o he unobse ed componen s. Howe e , hey all sugges ha pa en - o-child
ansmission is no he main componen o he sibling co ela ion, which is o say ha Sis
mos ly d i en by ac o s ha siblings sha e o he han pa en al ea nings.4Fu he , hey all
sha e he unde lying idea ha he in e gene a ional ansmission p ocess is homogeneous ac oss
amilies. Bingley & Cappella i (2019) elax such homogenei y assump ion and a gue ha he
ole o he in e gene a ional componen is much highe han wha p e ious s udies usually ind.
Using Danish adminis a i e da a, hey es ima e a sibling co ela ion o 0.22 and ha his is
la gely explained by he in e gene a ional ansmission p ocess (by 72%). This is in con as
wi h p e ious s udies, and in pa icula wi h he es ima es o Denma k by Bj¨o klund & J¨an i
(2009), whe e he in e gene a ional componen accoun s o only 6% o he sibling co ela ion.
As in Equa ion 1, he model o Bingley & Cappella i (2019) assumes ha wij consis o
a pe manen and a ansi o y componen , which a e o hogonal, such ha E(yij + ij ) = 0.
Howe e , ins ead o assuming ha he in e gene a ional componen jis homogeneous ac oss
amilies, hey allow i o a y ac oss amilies, so ha j=µI
j+µR
j, whe e µI
jis he amily-speci ic
in e gene a ional componen and µR
jis he esidual componen cap u ing hose a ibu es sha ed
by he siblings which do no depend on a he s’ ea nings. The e o e, hey w i e Equa ion 2as:
yij =aij +µI
j+ +µR
j,∀i:m(i) = S1, S2,
aij ∼N(0, σ2
am), µR
j∼N(0, σ2
µR), µI
j∼N(0, σ2
µI )(4)
o he i s -bo n (S1) and second-bo n (S2) sons and as:
yij =aij +µI
j, aij ∼N(0, σ2
am),∀i:m(i) = F(5)
o he a he s, which do no ha e any esidual sibling componen µR
j. In bo h Equa-
ions 4and 5, he a iance componen allows o amily-membe mspeci ic dis ibu ions o
he indi idual-speci ic componen s aij.
Modeling a he s’ ea nings join ly wi h he i s - and second-bo n sons in a Gene alized
4See Solon e al. (1991); Bj¨o klund e al. (2004) and J¨an i & Jenkins (2015) o a su ey on he e idence on
sibling co ela ions.
6
Figu e 2: Maps
(a) Sha e o immig an s (b) A e age income
(c) Income seg ega ion (d) E hnic seg ega ion
No e: Geog aphical dis ibu ion o (a) he sha e o immig an s, (b) a e age income, (c) income seg ega ion, and
(d) e hnic seg ega ion. The i s wo a iables a e measu ed a he neighbo hood le el, while seg ega ion indexes
a e compu ed a he municipali y le el.
This p o ince encompasses he Du ch sea o go e nmen , The Hague, alongside Ro e dam,
i s la ges u ban cen e . Addi ionally, he Limbu g egion, si ua ed as he sou he nmos o he
wel e p o inces, is also ma ked by a no able immig an p esence, wi h Maas ich as i s p o in-
cial capi al. Ams e dam, he na ional capi al, assumes p ominence by hos ing a subs an ial
in e na ional communi y, a phenomenon a ibu ed o i s his o ical eminence and cosmopoli-
an ambiance. The geog aphical iangle delinea ed by he p o inces o Sou h Holland, No h
Holland, and U ech , which encompass majo u ban cen e s such as Ams e dam, Ro e dam,
The Hague, and U ech , a e associa ed wi h g ea e economic ac i i y and oppo uni ies, con-
ibu ing o ele a ed a e age income le els shown in panel Figu e 2b. Finally, Figu es 2c and
2d e eal a pe asi e dispe sion o bo h income and e hnic seg ega ion ac oss he Ne he lands.
Howe e , he e a e some spa ial concen a ions in close p oximi y o majo u ban agglome a es
13
Table 2: Main esul s
(a) GMM
Du ch EU-15 Ex-Colonies Tu key-Mo occo
Coe . S.E. Coe . S.E. Coe . S.E. Coe . S.E.
S0.312 (0.003) 0.315 (0.010) 0.309 (0.010) 0.298 (0.012)
I/ S0.830 (0.022) 0.923 (0.047) 0.858 (0.040) 0.538 (0.033)
IGC 0.225 (0.006) 0.250 (0.010) 0.232 (0.008) 0.163 (0.008)
(b) REML
Du ch EU-15 Ex-Colonies Tu key-Mo occo
Coe . S.E. Coe . S.E. Coe . S.E. Coe . S.E.
S0.258 (0.002) 0.249 (0.006) 0.250 (0.006) 0.242 (0.007)
I/ S0.084 (0.002) 0.105 (0.008) 0.130 (0.008) 0.093 (0.010)
IGC 0.147 (0.002) 0.162 (0.006) 0.180 (0.005) 0.150 (0.008)
No e: Panel (a) epo s he esul s o GMM es ima es; panel (b) hose o REML es ima es. Sis he sibling
co ela ion in income; Iis he pa o S ha is due o in e gene a ional componen s; I/ Sis he sha e o he
sibling co ela ion ha is due o in e gene a ional componen s. IGC is he in e gene a ional co ela ion in income
( a he - o-child co ela ion).
and he capi al.
4 Resul s ac oss e hnic g oups
We s udy he pa e ns in sibling co ela ion in pe manen ea nings ( S) ac oss immig an g oups
and u he decompose i o es ima e he ex en o which his is due o in e gene a ional com-
ponen s (i.e. due o pa en al pe manen income, I/ S). We also p o ide es ima es o he
a he - o-child co ela ion (o in e gene a ional co ela ion, IGC). Ou p e e ed model is he
one assuming ha in e gene a ional ansmission in income is he e ogeneous ac oss amilies,
ollowing Bingley & Cappella i (2019). We show esul s o Du ch na i es, which we ake as
a benchma k, immig an s o igina ing om EU-15 coun ies, o me colonies, and Tu key and
Mo occo sepa a ely.11 Table 2 epo s ou main esul s.
Ou GMM es ima es o he sibling co ela ion a e simila ac oss e hnic g oups and ange
be ween 0.298 and 0.315. Impo an ly, he pa e ns a e in line wi h he es ima es o he g oup
o Du ch na i es, o whom he sibling co ela ion is 0.312. In compa ison o he Danish con ex ,
ou es ima es o he sibling co ela ion a e sligh ly la ge han he 0.22 es ima e by Bingley &
Cappella i (2019). A simila esul eme ges also when es ima ing he sibling co ela ion wi h a
model assuming ha in e gene a ional ansmission in income is homogeneous ac oss amilies
(REML es ima es). Indeed, while poin es ima es a e sligh ly smalle han wi h GMM, he
11 Due o he di e ence in he iming o a i al shown in Figu e 1, we also conside immig an s om Indonesia
and Su iname sepa a ely. The esul s a e iden ical.
14
sibling co ela ion ac oss e hnic g oups anges om 0.242 o he Tu key-Mo occo immig an
g oup o 0.258 o he Du ch na i es. Thus, di e en ly om Schni zlein (2012), who es ima es
sibling co ela ions equal o 0.165 o Danish na i es and o 0.263 o second-gene a ion immi-
g an s, and ega dless o he model used, we do no obse e subs an ially la ge alues o S o
immig an s han o na i es.
Nex , we in es iga e whe he he ac ha sibling co ela ion in income is e y simila ac oss
e hnic g oups also implies ha he ele ance o pa en al pe manen income is compa able. Thus,
we es ima e he in e gene a ional sha e, i.e. he a io be ween he in e gene a ional componen
Iand he sibling co ela ion S. As epo ed in Table 2a, we obse e qui e high alues o bo h
Eu opean immig an s and hose om o me colonies (0.923 and 0.858, espec i ely). These a e
highe han ha e e ed o Du ch na i es, o whom 83% o he sibling co ela ion is a ibu able
o he in e gene a ional componen I. Con e sely, o indi iduals o igina ing om Tu key and
Mo occo, Ionly con ibu es o a ound hal o he sibling co ela ion.
These esul s con i m hose by Bingley & Cappella i (2019), as he e ogeneously dis ibu ed
in e gene a ional ansmission accoun s o a la ge ac ion (be ween 50 o 90 pe cen ) o he
o e all sibling co ela ion o pe manen ea nings. Mo eo e , ou es ima es indica e ha he sub-
g oups o immig an s who a e mo e simila o Du ch na i es due o his o ical and ins i u ional
easons (i.e. Eu opeans and hose om o me colonies) also end o ha e compa able pa e ns
in pa en al in luence. O he immig an s, including gues wo ke immig an s – ypically sou ced
om Tu key and Mo occo–, while displaying analogous le els o sibling co ela ion, owe hal o
his o ac o s independen o pa en al income. As hey ha e lowe a e age le els o income (see
Table 1), i seems easonable o expec ha hei highe deg ee o mobili y ansla es in o less
ansmission o po e y ac oss gene a ions.
When we allow o homogenei y in in e gene a ional ansmission be ween amilies, he co-
e icien e e ed o indi iduals o o me colonies’ o igin eaches 0.130, while i is a ound 0.100
o he o he immig an g oups and 0.084 o na i es (Table 2b). This poin s o he exis ence o
ai ly simila in e gene a ional pa e ns ac oss all g oups. Howe e , his migh be due o he ac
ha es ima es in he REML model a e ela i ely comp essed, hus also c oss-g oup di e ences
a e less no iceable.
Finally, we conside he in e gene a ional co ela ion in income (IGC), o a he - o-child
co ela ion, ac oss e hnic g oups. In compa ison o a poin es ima e o 0.225 o Du ch na i es,
we ind ha immig an s end o ha e sligh ly highe alues (see Table 2a). As be o e, immig an s
om Tu key and Mo occo a e an excep ion, as his g oup seems o expe ience a ela i ely less
impo an ole o pa en al in luence (0.163). Such di e ence migh be explained by Tu kish and
Mo occan immig an s s a ing om a lowe socio-economic posi ion compa ed o Du ch na i es
and o Eu opeans and hose coming om o me colonies ( an Ou s & Veenman,2003). Hence,
i is easonable o hem o expe ience a highe deg ee o mobili y. Such a pa e n, al hough less
e iden , is con i med unde he REML model (Table 2b).
15
Figu e 3: Resul s by immig an gene a ion
(a) Sibling co ela ion (b) In e gene a ional sha e
No e: Each plo epo s poin es ima es and co esponding con idence in e als a 95% le el. Panel (a) shows
esul s on he sibling co ela ion in income ( S); panel (b) hose on he sha e o he sibling co ela ion ha is due
o in e gene a ional componen s ( I/ S). Poin es ima es and s anda d e o s a e also epo ed in Table A.2.
5 Resul s ac oss gene a ions and neighbo hood cha ac e is ics
In he p e ious sec ion, we show ha Du ch na i es and immig an s ha e compa able le els o
sibling co ela ion. Ye , o almos all e hnic g oups he in e gene a ional componen and he
a he - o-child co ela ion a e highe han hose o na i es. Es ima es o immig an s o Tu kish
and Mo occan descen a e conside ably lowe , sugges ing a less ele an ole o he in e gene a-
ional componen (i.e., pa en al ea nings) and a mo e in luen ial ole o he esidual componen
in explaining he sibling co ela ion. These di e ences in in e gene a ional ansmission dynam-
ics ac oss e hnic g oups migh hide he e ogeneous pa e ns in he assimila ion mechanism o e
immig an gene a ions. He e, we explo e he exis ence o sepa a e pa hs ac oss sub-g oups.
When add essing he e olu ion o in e gene a ional ansmission in income o immig an s,
we migh expec ha e hnic dispa i ies ade as amilies se le and acqui e hos coun y-speci ic
human and social capi al. Thus, second-gene a ion immig an s would beha e mo e simila ly o
na i es, and so would hei in e gene a ional ansmission mechanism.
Figu e 3a epo s ou es ima es o he sibling co ela ion in pe manen ea nings by immig an
gene a ion. Poin es ima es a e ai ly simila ac oss gene a ions and e hnic g oups, al hough
hose e e ed o as i s -gene a ion immig an s a e sligh ly lowe han hose o na i es.12 When
we compu e in e gene a ional sha es by immig an gene a ion (Figu e 3b), howe e , es ima ed
pa ame e s sugges a la ge he e ogenei y in he con ibu ion o he in e gene a ional componen
o he sibling co ela ion ac oss sub-g oups. In pa icula , he ole o pa en al pe manen income
seems o be much highe o na i es, while he esidual componen has a subs an ial ole o
12 Coe icien s and s anda d e o s a e also epo ed in Table A.2. We exclude he g oup o i s -gene a ion
EU-15 immig an s due o i s small sample size (i.e., less han 600 obse a ions).
16
i s -gene a ion immig an s.
When conside ing second-gene a ion immig an s, es ima ed alues align wi h he ones e-
e ed o by he Du ch na i es. The only excep ion is gi en by immig an s o Tu kish and
Mo occan o igin, who main ain he same deg ee o impo ance o he in e gene a ional com-
ponen as he p e ious gene a ion. These esul s seem o con i m he hypo heses men ioned
abo e. I he in e gene a ional ansmission mechanism ends o assimila e ac oss gene a ions,
his migh be because he cha ac e is ics o he pa en al and esidual componen s become simila
o hose o na i es and so does hei ela i e weigh in explaining he sibling co ela ion. Ou
es ima es sugges ha his p ocess occu s wi hin he span o jus wo gene a ions o immig an s
om EU coun ies and o me Du ch colonies, possibly due o he sha ed his o y and ins i u-
ions wi h he na i e popula ion. On he o he hand, he e hnic g oup ha does no sha e such
s ong ies wi h he Du ch na i e popula ion seems o expe ience a slowe assimila ion p ocess.
We u he in es iga e he po en ial easons behind hese he e ogenei ies. O e he las
decades, a la ge li e a u e has in es iga ed he d i e s o in e gene a ional mobili y di e ences
and he ole o media ing ac o s such as neighbo hood and school quali y (B¨ugelmaye & Schni -
zlein,2018;Hedman e al.,2019;Hedman & Ham,2021). Abo e all, neighbo hood e ec s ha e
been p o en o be c ucial o long- e m ou comes such as ea nings, ia hei empo al dimension
(Che y & Hend en,2018a). Thus, he di e ences in in e gene a ional mobili y be ween na i es
and immig an s o di e en e hnic backg ounds unco e ed in Figu e 3migh mask some he -
e ogenei ies de i ing om hese long- e m exposu es. Indeed, Kleinepie e al. (2018) ind ha
non-Du ch child en, especially Tu kish and Mo occan, a e mo e likely o li e in poo neighbo -
hoods han hei na i e coun e pa s, no only a a speci ic poin in ime du ing hei childhood
bu also h oughou hei en i e you h.13
We explo e he ole o neighbo hood cha ac e is ics and conside he deg ee o seg ega ion
in income HIand e hnic seg ega ion HE(Che y e al.,2014). As desc ibed in Sec ion 3.2,
we de ine as highly seg ega ed hose neighbo hoods ha belong o he op qua ile o he dis-
ibu ion. Figu e 4 epo s he sha e o indi iduals li ing in highly seg ega ed neighbo hoods
by e hnic o igin and immig an gene a ion. Th ee conside a ions a ise. Fi s , he wo mea-
su es, which a e s ongly co ela ed, gi e e y simila dis ibu ions. Second, he p opo ion o
indi iduals li ing in highly seg ega ed neighbo hoods is ex emely high among i s -gene a ion
immig an s (a ound 70%), and signi ican ly lowe among Du ch na i es (a ound 23%). Thi d,
he p opo ion o indi iduals li ing in highly seg ega ed neighbo hoods educes subs an ially o
second-gene a ion immig an s, excep o hose o Tu kish and Mo occan o igin.
Toge he wi h he e idence in Figu e 3 his sugges s a link be ween assimila ion pa e ns,
he deg ee o income and e hnic seg ega ion and he ela i e weigh o he pa en al componen o
he income ansmission p ocess. In pa icula , neighbo hood cha ac e is ics migh be ela i ely
less pe sis en o he g oups ha quickly assimila e he in e gene a ional dynamics o he na i e
13 Wi h Swedish da a, Manley e al. (2020) also ind ha childhood neighbo hood has long-las ing e ec s on
esiden ial ca ee s, bu hese a e a enua ed by amily e ec s.
17
Figu e 4: Communi y cha ac e is ics by immig an gene a ion
(a) Highly seg ega ed in income (b) Highly seg ega ed in e hnici y
No e: Each plo epo s he sha e o indi iduals li ing in a highly seg ega ed neighbo hood by e hnic o igin and
immig an gene a ion. Panel (a) e e s o income seg ega ion (HI); panel (b) o e hnic seg ega ion (HE).
popula ion. Con e sely, immig an s on a slowe assimila ion pa h, o whom he ansmission o
neighbo hood s a us is mo e pe sis en ac oss gene a ions, seem o expe ience a lowe in luence
o he pa en al ansmission in o hei sibling co ela ion in income. This sugges s ha neigh-
bo hood dynamics migh con ibu e o explaining he in e gene a ional ansmission mechanism
o he la e immig an g oup.
Thus, we u n o di ec ly assessing he impo ance o li ing in e hnically o economically
seg ega ed a eas by conside ing e hnic- and income-based seg ega ion in he municipali y as
measu es o spa ial he e ogenei y. Figu es 5and 6 epo he esul s by le el o income and
e hnic seg ega ion in he neighbo hood, espec i ely. “Low” and “High” e e o neighbo hoods
in he bo om h ee qua iles and he op qua ile o he dis ibu ion, espec i ely, as desc ibed
in Sec ion 3.2.
Es ima ed sibling co ela ions in ea nings a e in line wi h ou main esul s, ega dless o he
le el o seg ega ion in he neighbo hood o esidence, and so is he es ima ed in e gene a ional
sha e. As expec ed, o immig an s om Tu key and Mo occo he es ima ed in e gene a ional
componen is o e all ela i ely less impo an , bu i is especially low he highe he le el o
seg ega ion. Indeed, hose esiding in highly seg ega ed a eas end o exhibi below-a e age
alues o he in e gene a ional sha e, sugges ing ha his dimension is no en i ely cap u ed by
he in e gene a ional componen explaining he sibling co ela ion in pe manen income. This
esul is especially ele an because i implies ha he impo ance o he neighbo hood is no
homogeneous ac oss neighbo hood cha ac e is ics. Mo eo e , i shows ha neighbo hood e ec s
in luence ansmission especially o he e hnic g oup expe iencing highe , and mo e pe sis en ,
seg ega ion le els.
In he Appendix, as obus ness, we p o ide addi ional esul s based on he po e y seg-
18
Figu e 5: Resul s by income seg ega ion HI
(a) Sibling co ela ion (b) In e gene a ional sha e
No e: Each plo epo s poin es ima es and co esponding con idence in e als a 95% le el. Panel (a) shows
esul s on he sibling co ela ion in income ( S); panel (b) hose on he sha e o he sibling co ela ion ha is due
o in e gene a ional componen s ( I/ S). Poin es ima es and s anda d e o s a e also epo ed in Table A.2.
Figu e 6: Resul s by e hnic seg ega ion HE
(a) Sibling co ela ion (b) In e gene a ional sha e
No e: Each plo epo s poin es ima es and co esponding con idence in e als a 95% le el. Panel (a) shows
esul s on he sibling co ela ion in income ( S); panel (b) hose on he sha e o he sibling co ela ion ha is due
o in e gene a ional componen s ( I/ S). Poin es ima es and s anda d e o s a e also epo ed in Table A.2.
ega ion index HP(Figu e A.1) and on neighbo hood-speci ic measu es o income and e hnic
he e ogenei y. We conside he sha e o households ha ing income below he 25 h pe cen ile
(Figu e A.2) and he sha e o non-Du ch esiden s (Figu e A.3). Es ima es yield simila conclu-
sions as hose p esen ed abo e.
19
6 Conclusions
Fo decades, he a ia ion in ea nings sha ed by siblings was belie ed o be mos ly due o
ac o s unco ela ed wi h pa en al ea nings (Solon e al.,1991;Bj¨o klund e al.,2010). The
ecen con ibu ion by Bingley & Cappella i (2019) shows ha when one assumes he e ogenei y
in in e gene a ional ansmission be ween amilies, in e gene a ional pe sis ence accoun s o
mo e han wo- hi ds o he sibling co ela ion in pe manen ea nings. I is no i ial, howe e ,
whe he his new e idence applies also o he immig an popula ion and o wha ex en i may
explain di e ences in immig an assimila ion pa hs ac oss g oups and gene a ions.
We ollow he app oach o Bingley & Cappella i (2019) o decompose he sibling co ela ion
o pe manen ea nings in o in e gene a ional and esidual sibling componen s and o compu e
he co esponding in e gene a ional sha e o a sample o Du ch and immig an indi iduals o e
h ee gene a ions.
We ind ha a subs an ial ac ion o he o e all sibling co ela ion, indeed, de i es om
pa en al in luences. When conside ing sub-popula ions on he basis o e hnic o igin, he sibling
co ela ion due o in e gene a ional ansmission is simila o ha o na i es o immig an s
om Eu ope and o me Du ch colonies, while i is sensibly lowe o hose o igina ing om
Tu key and Mo occo, who mo ed o he Ne he lands mainly as gues -wo ke s and sha e di e en
cha ac e is ics wi h espec o Du ch na i es and o he immig an s.
When we analyze indi iduals by immig an gene a ion, wo impo an esul s eme ge. Fi s ,
sibling co ela ion in ea nings is sligh ly lowe o i s -gene a ion immig an s compa ed o
second-gene a ion ones, who end o align wi h Du ch na i es. Second, he weigh o pa en al
income in he sibling co ela ion in ea nings is lowe o immig an s compa ed o na i es. I
e u ns o alues compa able o he na i e popula ion o second-gene a ion immig an s om
Eu ope and o me colonies, while o immig an s o di e en o igins (Tu key and Mo occo)
ac o s un ela ed o pa en al income con inue o ha e a meaning ul ole.
These he e ogenei ies sugges ha di e en assimila ion mechanisms migh be a wo k. Thus,
we ollow he li e a u e in explo ing he po en ial ole o media ing ac o s ha could explain
such disc epancies ac oss g oups (B¨ugelmaye & Schni zlein,2018;Che y & Hend en,2018b;
Hedman & Ham,2021). We conside wo spa ial measu es o neighbo hood e hnic and income
seg ega ion. Ou analysis e eals ha he pa e ns obse ed o he es ima ed in e gene a ional
sha e also a ise when conside ing he sha e o indi iduals li ing in highly seg ega ed neigh-
bo hoods. We also ind ha ha he ole o he in e gene a ional componen in explaining
he sibling co ela ion in ea nings is especially low o he g oup o immig an s o whom he
ansmission o neighbo hood s a us pe sis s ac oss gene a ions.
We conclude ha , while he sibling co ela ion in income is ai ly simila ac oss na i e and
immig an g oups, his co ela ion does no appea o be explained by he same ac o s. As im-
mig an s assimila e in o he na i e popula ion, hei in e gene a ional ansmission mechanisms
also become simila o he ones expe ienced by na i es. Howe e , such an assimila ion mecha-
20
nism is no homogeneous ac oss g oups. Ou esul s imply ha neighbo hood e ec s a e mo e
ele an , and pe sis en , o hose immig an s who a e on a slowe assimila ion pa h expe ience.
21
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22
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agencies. These can be downloaded and eused o ee, o bo h comme cial and non-comme -
cial pu poses. The po al also p o ides access o a weal h o da ase s om Eu opean coun ies.
The Join Resea ch Cen e (JRC) p o ides
independen , e idence-based knowledge
and science, suppo ing EU policies o
posi i ely impac socie y
EU Science Hub
Join - esea ch-cen e.ec.eu opa.eu
