Thus, discrimination and segregation dampen Black wealth growth. Wealth holdings make a big difference not only in current living standards, but also in the future of children. Formerly, most families could only hope to pass on the social capitals of motivation for education and some job contracts. Today, many more families provide from their assets a sizable financial stake for their offspring in educational possibilities, in help in buying a home, and in other ways. At least 51 percent of net worth accumulation results from inheritance or transfers from living persons.
Parental position affects the wealth of children.
Oliver and Shapiro put together intriguing data that show that parental occupation affects the financial wealth of a child. The reduction in wealth inequalities can occur through leveling down or by leveling up and, of course, a mix of the two. Wolff concentrates on leveling down by taxing wealth. Only 3 percent of families would experience an income of more than 10 percent in their federal tax payments. If the German or Swedish wealth tax regulations were adopted, revenues would be much greater.