Abstract
In this research, we explored whether participation in pension insurance and medical insurance for children and fathers blocks the inter-generational transmission of poverty. Using data from the China Family Panel Survey of 2018, this paper took the average level of insurance participation of a sample group as an instrumental variable, applied the IV-probit model, and found that the participation of children in pension insurance and the participation of fathers in medical insurance significantly reduce the probability of the inter-generational transmission of poverty, but that the participation of children in medical insurance and the participation of fathers in pension insurance increase it. These results were robust. Furthermore, there was heterogeneity in household registration, geographical location, and marriage with regard to the impact of social insurance participation on the inter-generational transmission of poverty. These results could help the formulation of anti-poverty policies to address the inter-generational transmission of poverty.
Highlights
Academic Editors: Srinivas Goli, Blocking the inter-generational transmission of poverty (ITP) is an important antipoverty strategy
As an important economic and social issue, poverty alleviation is affected by complex factors [1,2], such as the habits and social capital of individuals [3,4,5], family economic status and the living environment [6], and emergencies like COVID-19 [7], and it persists within families [8]
Applying instrumental variables and the IV-probit model, we found that social insurance has varying significant impacts on the inter-generational transmission of poverty
Summary
Academic Editors: Srinivas Goli, Blocking the inter-generational transmission of poverty (ITP) is an important antipoverty strategy. Poor parents accumulate less social capital and provide less help to their children in life, work, and communication, resulting in an increase in the probability of their children inheriting poverty [4] This literature contributes to the current understanding of the blocking of the transmission of poverty, and takes into account the rarely touched upon impact of social insurance. The data are collected by interview once every two years, based on a permanent sample of 14,960 households and 42,590 individuals who entered the 2010 baseline survey It is a detailed and comprehensive investigation into family income, social insurance participation, education, health, and individual characteristics. It has a large sample capacity, wide coverage, reasonable questionnaire design, scientific survey methods, and timely data updates, which effectively reflect the development of our society.
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