The children of rich families tend to differ from their poorer peers in multiple ways. They have fewer siblings and more educated parents. Their parents spend more time with them and send them to better quality schools. Their cognitive skills are higher, and they complete more years of schooling. Take the example of school quality. Attending a high-quality school may have direct long-run effects on an individual’s lifetime earnings by creating a more valuable professional network, for example.
However, attending a higher quality school can also have indirect effects on lifetime earnings through improved cognitive skills and/or the student staying in education for longer. Each of these channels are more likely to benefit the kids of richer parents, who tend to have access to better schools. They suspect their successes are due to wealth and position. It’s hard to be sure they have achieved anything, or are really liked by others. They are stung by others’ resentment of their good fortune. Fear of failure runs high among inheritors, especially if their father has been a huge success.
