Why it's harder to earn more than your parents

Challenges in Social Mobility In the 21st century, climbing the social ladder is becoming increasingly difficult despite perceptions of ease. The class one is born into significantly impacts their chances of success in many affluent countries, including America. Hidden privileges and lack of social mobility contribute to political unrest and radicalism.

Success Against Odds Sophie Pender defied expectations by rising from a challenging upbringing on a council estate to working at a prestigious law firm. She highlights the misconceptions about working-class individuals and emphasizes that opportunities are not equally accessible due to various factors beyond personal control. Britain faces significant social-mobility issues compared to other wealthy nations like Canada or Denmark, with low probabilities for upward income movement.

Social divisions are increasing within society as the top earners have distanced themselves from the rest. In 1975, only 9% of taxable income went to the top 1% in America, but by 2018, this share had more than doubled. The lack of social mobility is concerning for American society and fuels populist movements globally.

After World War II, countries like America and Britain experienced a surge in social mobility due to the increase in professional and managerial jobs. This led to working-class individuals moving up the income ladder, with a 90% chance for post-war Americans to earn more than their parents. However, this trend shifted over time as absolute mobility declined steadily for each younger generation born after the 1980s.

The Impact of Education on Social Mobility Education has become a crucial factor in determining social mobility, with a shift towards service-based industries creating fewer opportunities for those without degrees. This change has significantly impacted people's incomes and life chances compared to 50-60 years ago, favoring winners in high-paying jobs like doctors and lawyers while challenging the lower and middle class financially.

Empowering Students Through Education In efforts to bridge the social divide, state schools like NCS in London have emerged as beacons of hope for students from lower-income families. Despite facing deprivation indicators, such as bursaries or free school meals qualifications, these students excel academically with 95% progressing to top universities. The school's focus on academic excellence and ambition aims at breaking class barriers for talented individuals regardless of their background.

Private schools' influence over elite universities like Oxford and Cambridge is decreasing, with a drop in admissions from 40% to around 30% by 2020. The focus should be on discovering talent across all societal levels, emphasizing the importance of inclusivity for finding 'hidden Einsteins.' Britain's approach to education stands out compared to America's legacy admissions system that favors alumni children, perpetuating inequality based on wealth and family background.

In America, efforts are being made to level the playing field in university admissions by addressing disparities faced by low-income students. Standardized tests like SATs have been criticized for favoring wealthier and white/Asian students over black and Hispanic students. Kawika Smith led a legal battle against the University of California's use of SATs, resulting in their removal from the admissions process nationwide.

In a small island nation, a pioneering scheme was implemented in the late 1980s to help impoverished children. Health workers visited families weekly with homemade toys and games made from household items like old socks and plastic bottles. This initiative aimed to improve language and cognitive skills through play, involving mothers actively at low cost.

Impact of Location on Opportunities and Self-Worth Growing up in America can significantly impact one's opportunities, with even small relocations making a big difference. Dawn shares her experience of feeling undervalued in a poorer area of Seattle but has since benefited from a transformative program that enabled her to move to a more promising neighborhood.

Program Supporting Relocation for Better Opportunities A groundbreaking program supported by housing vouchers and the Gates Foundation assists individuals in moving to areas with greater prospects. This initiative, influenced by economists' work, aims to improve lives by providing financial aid for relocation costs.

Decades of Census Bureau data led to the creation of an 'opportunity atlas' in America, revealing stark differences in income mobility based on location. Low-income families in certain areas like Harding County, South Dakota, see higher earning potential for their children compared to places like Hoke County, North Carolina. The Great Plains and Upper Midwest stand out for their high mobility rates despite common misconceptions about coastal cities.

Social capital plays a crucial role in advancing social mobility beyond just financial gains. It encompasses the invaluable networks and connections that affluent individuals benefit from, providing access to opportunities and support. Sophie's personal journey highlights the significance of social connections in navigating challenges faced due to lack of privilege.

Government's Role in Social Mobility Governments play a crucial role in improving social mobility by committing to enhancing access to education and wealth redistribution. The post-pandemic era presents a unique opportunity for addressing income inequality, which has become a prominent policy issue. Despite challenges, the pandemic has shed light on inequalities and expanded possibilities for change.

Challenges of Social Mobility After World War II, countries like America and Britain experienced significant social mobility due to an increase in professional jobs. However, this trend declined over time as children from wealthier families tended to outperform lower-income peers early on. Innovative state schools have shown success in boosting opportunities for children from disadvantaged backgrounds by sending them to top universities despite their economic status.