TY - JOUR
AU - Kremer, Michael
AB - Some commentators argue that increased sorting into internally homogeneous neighborhoods, schools, and marriages is radically polarizing society. Calibration of a formal model, however, suggests that the steady-state standard deviation of education would increase only 1.7 percent if the correlation between neighbors' education doubled, and would fall only 1.6 percent if educational sorting by neighborhood disappeared. The steady-state standard deviation of education would grow 1 percent if the correlation between spouses' education increased from 0.6 to 0.8. In fact, marital and neighborhood sorting have been stable, or even decreasing historically. Sorting has somewhat more significant effects on intergenerational mobility than on inequality.
TI - How Much does Sorting Increase Inequality?*
JF - The Quarterly Journal of Economics
DO - 10.1162/003355397555145
DA - 1997-02-01
UR - https://www.deepdyve.com/lp/oxford-university-press/how-much-does-sorting-increase-inequality-02uLe6f8hY
SP - 115
EP - 139
VL - 112
IS - 1
DP - DeepDyve
ER -