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Growing Wealth Gaps in Education.

Fabian T Pfeffer1

  • 1University of Michigan, 4213 LSA Building, 500 South State Street, Ann Arbor, MI, 48109, USA. fpfeffer@umich.edu.

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Wealth gaps in college attainment are widening significantly. This study highlights growing educational inequality driven by family wealth, urging concern for future opportunities.

Keywords:
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Area of Science:

  • Sociology of Education
  • Economics of Education
  • Social Stratification

Background:

  • Educational inequality research traditionally focuses on income and occupation.
  • Family wealth as a determinant of educational attainment remains under-examined.
  • Recent trends show rising wealth inequality in society.

Purpose of the Study:

  • To assess trends in educational attainment gaps by family wealth.
  • To compare wealth-based educational disparities with income-based ones.
  • To investigate the relationship between rising wealth inequality and educational opportunity.

Main Methods:

  • Analysis of educational attainment trends across birth cohorts (1970s and 1980s).
  • Comparison of wealth gaps in high school attainment, college access, and college attainment.
  • Statistical examination of the correlation between children's wealth backgrounds and higher education completion.

Main Results:

  • A large and increasing wealth gap in college attainment was observed between cohorts.
  • While high school attainment and college access showed some narrowing of wealth gaps, college completion did not.
  • The rise in inequality of children's wealth backgrounds is linked to, but does not fully explain, the growing college attainment gap.

Conclusions:

  • Family wealth is a critical, and increasingly important, factor in educational attainment, particularly for college completion.
  • Growing wealth inequality poses a significant threat to equitable educational opportunities.
  • Policy attention should address wealth disparities to mitigate educational inequality.