How Long Do Wealth Shocks Persist? Less Than Three Generations in England, 1700–2026

What happens across generations to wealth shocks? Do they endure and even magnify, or do they dissipate? By implication, how much modern wealth is attributable to events before 1900? This paper uses random shocks to family size in England before 1880 that created wealth shocks for the children to measure the persistence of wealth shocks. Fertility in England before 1880 was a biological lottery. For richer families, family size strongly influenced child wealth. This paper finds that such biology...