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Table 6 presents conditional probabilities of transitioning from low-income to high-income occupations. In contrast to educational mobility, the patterns for occupational mobility are less robust. As discussed earlier, the occupational mobility estimates are less sharp and tend to be subjected to greater measurement error, life-cycle bias, and selection concerns due to unemployment. Nevertheless, education appears to be important. When I split the sample by educational mobility (bottom panel), I find that cohort pairs with high educational mobility (children with above-median education and parents with below-median education) have greater transition probability (48%) relative to those with low educational mobility (36%).

Table 6. 
Intergenerational Occupational Mobility
Sample: All (1) Grandparents (2) Parents (3) Migrants (4) Jakarta Natives (5) 
High-occupation jobs 0.40 0.40 0.43 0.41 0.40 
 [0.19,0.62] [0.16,0.63] [0.05,0.81] [0.11,0.71] [0.09,0.70] 
No. of observations 292 203 89 149 143 
Sample:  Low Educational Mobility High Educational Mobility Males Females 
High-occupation jobs  0.36 0.48 0.38 0.48 
  [0.10,0.62] [0.16,0.81] [0.15,0.62] [0.17,0.78] 
No. of observations  185 107 218 74 
Sample: All (1) Grandparents (2) Parents (3) Migrants (4) Jakarta Natives (5) 
High-occupation jobs 0.40 0.40 0.43 0.41 0.40 
 [0.19,0.62] [0.16,0.63] [0.05,0.81] [0.11,0.71] [0.09,0.70] 
No. of observations 292 203 89 149 143 
Sample:  Low Educational Mobility High Educational Mobility Males Females 
High-occupation jobs  0.36 0.48 0.38 0.48 
  [0.10,0.62] [0.16,0.81] [0.15,0.62] [0.17,0.78] 
No. of observations  185 107 218 74 

Notes: The unit of analysis is a pair of generations (grandparents–parents and parents–children). Similar to conditional transition probabilities reported in panel A of Table 4, the table above presents 95% confidence intervals in brackets, obtained from bootstrapping. The sample includes only cohort pairs with nonmissing occupation information. High-income occupations (average monthly income of more than Rp2 million) include jobs in the formal retail sector; administrative or office jobs (bankers, managers); jobs in the public sector (teachers, police officers); and sellers. Low-income occupations include service sector jobs, drivers, security officers, factory jobs, construction workers and laborers, cleaners, farmers, and homemakers. The transition probabilities present the likelihood of transitioning from low- to high-income occupations. The first two columns in the bottom panel split the sample by high educational mobility households (households where the older cohort's education level was below the median and the younger cohort's education level was above the median) and low educational mobility households. The last two columns split the sample by the gender of the child. *p < 0.1, **p < 0.05, ***p < 0.01.

Source: Author's calculations.

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