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Equalization of Opportunity: Definitions, Implementable Conditions and Application to Early-Childhood Policy Evaluation

Author

Listed:
  • Andreoli, Francesco

    (LISER (CEPS/INSTEAD))

  • Havnes, Tarjei

    (Norwegian Ministry of Finance)

  • Lefranc, Arnaud

    (University of Cergy-Pontoise)

Abstract
This paper develops a criterion to assess equalization of opportunity that is consistent with theoretical views of equality of opportunity. We characterize inequality of opportunity as a situation where some groups in society enjoy an illegitimate advantage. In this context, equalization of opportunity requires that the extent of the illegitimate advantage enjoyed by the privileged groups falls. Robustness requires that this judgement be supported by the broadest class of individual preferences. We formalize this criterion in a decision theoretic framework, and derive an empirical condition for equalization of opportunity based on observed opportunity distributions. The criterion is used to assess the effectiveness of child care at equalizing opportunity among children, using quantile treatment effects estimates of a major child care reform in Norway.

Suggested Citation

  • Andreoli, Francesco & Havnes, Tarjei & Lefranc, Arnaud, 2014. "Equalization of Opportunity: Definitions, Implementable Conditions and Application to Early-Childhood Policy Evaluation," IZA Discussion Papers 8503, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp8503
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    Cited by:

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    3. John E. Roemer & Alain Trannoy, 2016. "Equality of Opportunity: Theory and Measurement," Journal of Economic Literature, American Economic Association, vol. 54(4), pages 1288-1332, December.

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    More about this item

    Keywords

    economic distance; inverse stochastic dominance; public policy; equality of opportunity; income distribution; child care; pre-school;
    All these keywords.

    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality

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