We propose a new measure of upward mobility: the expected education rank of a child born to parents in the bottom half of the education distribution. [...] The study calls for drastic and urgent macro policy interventions by the government to undertake appropriate redistributive policy measures to uplift the income of the poor. [...] We test the effectiveness of the pedagogy using achievement scores and a novel measure of curiosity. [...] Calibrating the model's parameters to match initial import shares and the estimated responses to the US tariffs imposed on China, we find an overall welfare loss of 0.12 percent of GDP, with substantial contributions from changes in input sourcing and search costs. [...] We test the hypothesis for Japan and the United States using a structural vector autoregressive model with the ELB.
- Pages
- 7
- Published in
- India
