Chapter 8 Macro-Economic Determinants of Cross-Country Differences in Intergenerational Transmission of Economic Disadvantage in Europe

International studies of the extent to which economic status is passed from one generation to the next are important for at least two reasons. First, each study of a particular country characterizes an important feature of that country's income inequality. Second, comparisons of intergenerational mobility across countries may yield valuable clues about how income status is transmitted across generations and why the strength of that intergenerational transmission varies across countries. The first section of this paper explains a benchmark measure of intergenerational mobility commonly used in U.S. studies. The second section summarizes comparable empirical findings that have accumulated so far for countries other than the United States. The third section sketches a theoretical framework for interpreting cross-country differences in intergenerational mobility.

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Empirical Evidence on the Evolution of International Earnings

The Accounting Review ◽

10.2308/accr.2002.77.s-1.115 ◽

2002 ◽

Vol 77 (s-1) ◽

pp. 115-133 ◽

Cited By ~ 100

Author(s):

Judy Land ◽

Mark H. Lang

Keyword(s):

Interest Rates ◽

Empirical Evidence ◽

Cash Flow ◽

Growth Rates ◽

Economic Determinants ◽

Accounting Practice ◽

Time Period ◽

Earnings Smoothing ◽

Country Differences ◽

Cross Country

We examine whether cross-country differences in earnings-to-price multiples have changed between 1987–1992 and 1994–1999. Our results suggest that earnings multiples became more similar over this time period for the jurisdictions we analyze, although systematic differences remain. Economic determinants of earnings multiples (e.g., growth rates, interest rates, and returns) do not exhibit similar convergence and do not appear to explain the changes. The convergence is robust to controls for cash flow multiples and is apparent in the valuation of accruals. Accrual/cash flow correlations have also become more similar and generally less negative, suggesting a reduction in earnings smoothing. Overall, our evidence suggests convergence in accounting practice.

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How Does Firm Size Explain Cross-Country Differences in Ownership Concentration?

SSRN Electronic Journal ◽

10.2139/ssrn.3547092 ◽

2020 ◽

Author(s):

Fariborz Moshirian ◽

Nguyen Thi Thuy ◽

Jin Yu ◽

Bohui Zhang

Keyword(s):

Firm Size ◽

Ownership Concentration ◽

Country Differences ◽

Cross Country

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Connections Between Cultures: Using Empirical Distributions for Measuring Cultural Differences

Journal of Cross-Cultural Psychology ◽

10.1177/0022022120982370 ◽

2020 ◽

pp. 002202212098237

Author(s):

Wolfgang Messner

Keyword(s):

Cultural Values ◽

Cultural Differences ◽

Distance Measures ◽

Cultural Variation ◽

Group Level ◽

Psychological Phenomena ◽

Empirical Distributions ◽

Leibler Divergence ◽

Country Differences ◽

Cross Country

The past few decades have seen an explosion in the interest in cultural differences and their impact on many aspects of business management. A noticeable feature of most academic studies and practitioner approaches is the predominant use of national boundaries and group-level averages as delimiters and proxies for culture. However, this largely ignores the significance that intra-country differences and cross-country similarities can have for identifying psychological phenomena. This article argues for the importance of considering intra-cultural variation for establishing connections between two different cultures. It uses empirical distributions of cultural values that occur naturally within a country, thereby making intracultural differences interpretable and actionable. For measuring cross-country differences, the Gini/Weitzman overlapping index and the Kullback-Leibler divergence coefficient are used as difference measures between two distributions. The properties of these measures in comparison to traditional group-level mean-based distance measures are analyzed, and implications for cross-cultural and international business research are discussed.

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