The Decline in Intergenerational Mobility in Post-Socialism: Evidence from the Bulgarian Case

Abstract

We examine changes in the statistical association between parents’ and children’s schooling in one post-socialist country: Bulgaria. We document its near-doubling between 1995 and 2001. For children of less-educated parents, this produced an absolute decline in average attainment. These children were educated during a period of economic depression and significant reductions in public spending, which led to school closures and shortages of materials, along with increases in out-of-pocket costs. We conclude that the economic and fiscal crisis of the 1990s led to a sharp decline in educational mobility. This may have relevance for other countries experiencing similar economic shocks.