The Disincentive Effects of Subsidies on Danish Children

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Danish study finds children of low skilled parents are no more skilled than others. They're still stratified by family origin and don't have the same strategies for life, he says. "The sense of agency of being a Danish child is thwarted" He adds that in U.S., people trying to reenact welfare state 'basically reincarnated' from Denmark.

Economist and Nobel Laureate James Heckman of the University of Chicago talks about inequality and economic mobility with EconTalk host Russ Roberts. Drawing on research on inequality in Denmark with Rasmus Landerso, Heckman argues that despite the efforts of the Danish welfare state to provide equal access to education, there is little difference in economic mobility between the United States and Denmark. The conversation includes a general discussion of economic mobility in the United States along with a critique of Chetty and others' work on the power of neighborhood to determine one's economic destiny.