A study by Diogo Britto, Paolo Pinotti and co-authors uses large-scale Brazilian tax and administrative data to show that social mobility in Brazil is extremely limited. Parental income strongly shapes children’s adult outcomes, with only 2.5% of children from the poorest families reaching the top quintile. Gender, race and region further affect opportunities, while growing up in more dynamic areas improves future income. The findings highlight the need to invest in education and disadvantaged regions to break inherited inequality.

Read the full article