Investigating the Genetic and Environmental Influences on Income using US Census and IRS Data

• In Event: Families and Labor Supply

Abstract

We use data on the near-universe of Americans from the 2000 Census linked to IRS tax records to estimate the relative contribution of genetic and family environmental factors to population variation in income. We do this by introducing a quantitative framework that compares the resemblance in adult incomes of male-male, female-female, and male-female pairs of twin and non-twin biological siblings. By applying our framework to US population data, this project represents the largest and most diverse twin and sibling study to date. Our preliminary results will leverage these data to provide the first population-representative estimates of family effects on adult income through genetic and environmental channels, with implications for intergenerational mobility. We will also provide novel estimates of heterogeneity in family effects by race, sex, and household economic conditions.

Authors

• Ryan Fraser, rcfraser@umich.edu

• Jennifer Bernard, US Census Bureau

• Amanda Kowalski, University of Michigan

• Jonathan Beauchamp