Furthermore, Solon also suggests that public policy can either accentuate
or dampen the influence of labor market inequality, showing that generational
mobility is promoted by “progressive” public programs that are of relatively more
benefit to the relatively less well-off. Two countries may spend the same fraction
of their gross domestic product on education, but if this spending is directed to
high-quality early childhood education and to primary and secondary schooling
accessible for all, then it is likely to be of relatively more benefit to families
lower in the socioeconomic scale than if it was directed to high-quality private
tertiary education accessible to only a few. Indeed, this perspective should be
applied to all aspects of public actions that influence the relationship between
families and the labor market, which in addition to expenditures on schooling
includes other sources of human capital like health care, taxes and transfers, as
well as regulations and policies helping parents to balance work and family life.
Furthermore, Solon also suggests that public policy can either accentuateor dampen the influence of labor market inequality, showing that generationalmobility is promoted by “progressive” public programs that are of relatively morebenefit to the relatively less well-off. Two countries may spend the same fractionof their gross domestic product on education, but if this spending is directed tohigh-quality early childhood education and to primary and secondary schoolingaccessible for all, then it is likely to be of relatively more benefit to familieslower in the socioeconomic scale than if it was directed to high-quality privatetertiary education accessible to only a few. Indeed, this perspective should beapplied to all aspects of public actions that influence the relationship betweenfamilies and the labor market, which in addition to expenditures on schoolingincludes other sources of human capital like health care, taxes and transfers, aswell as regulations and policies helping parents to balance work and family life.
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