Earnings in Elite Groups: The Impact of Social Class Origin

Abstract

The question addressed here is whether, and to what extent, social class origin has an impact on earnings among people with similar educational credentials and similar occupational positions. It is argued that earnings advantages of those originating in the upper or upper-middle classes are likely to be found primarily among those who choose education and occupations in the sector of their origin, and in occupations in which the criteria for measuring work performance are unclear. These assumptions are tested out on data on a selection of upper-level educational and occupational groups from the Norwegian censuses of 1980 and 1990. The analyses document that those who have experienced social mobility tend to get the lowest earnings, but the pattern of earnings inequality varies with educational and occupational group. Those originating in the cultural sector gain the greatest earnings advantages there, whereas the highest earnings among managers and business executives are found among those who originate in the business environment.