Intragenerational and Intergenerational Mobility in Viet Nam | Asian Development Bank

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Intragenerational and Intergenerational Mobility in Viet Nam

Publication | April 2017
Intragenerational and Intergenerational Mobility in Viet Nam

Income mobility has increased in Viet Nam, with education playing a key role in improving intergenerational mobility.

We examine intragenerational and intergenerational mobility of employment and income in Viet Nam from 2004–2008 and 2010–2014. We find high mobility across income quintiles, with more mobility of individuals by occupational skills, but less mobility by employment status and sectors. The upward mobility of occupation increased over time because of the increase in skilled occupations. The intergenerational elasticity of earnings for parents and children is estimated at 0.36. The intergenerational elasticity is similar for 2004 and 2014. Education plays an important role in improving intergenerational mobility. The intergenerational elasticity for children without a postsecondary degree is 0.51 and for those with a degree it is 0.17. For those with a postsecondary degree, 80% of people whose parents are unskilled have a skilled or nonmanual occupation.

WORKING PAPER NO: 722