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Title page 1

Contents 5

Foreword 4

Executive summary 9

1. Introduction and main findings 11

1.1. Climbing the ladder: Socio-economic mobility on the move 13

1.2. Perceived mobility outstrips actual progress 15

1.3. Tackling child well-being inequalities is crucial to unlocking social mobility 17

References 19

Note 21

2. Socio-economic mobility in Israel 22

2.1. Introduction 23

2.2. Educational attainment and the transmission of education across generations 25

Israel has enjoyed strong upward absolute mobility in education 25

Education is highly persistent in Israel 28

Gender differences in educational mobility in Israel are generally small 31

The Israeli-Arab community has made strong progress in educational attainment but continues to face a comparatively strong educational sticky floor 33

2.3. Occupational attainment and the transmission of occupational status across generations 36

Upward occupational mobility is high in Israel, as it is in many OECD countries 36

Occupational persistence seems to have hardened in recent decades 39

Gender differences in overall occupational mobility are small, but men with manual-worker parents are more likely than women to remain... 39

Arabic-speakers remain less upwardly mobile than Hebrew-speakers 41

2.4. Earnings mobility and the transmission of earnings levels across generations 43

Israel is a mid-range performer on intergenerational earnings mobility 44

Women are far more likely than men to be stuck at the bottom of the earnings distribution 47

Ethno-religious gaps in earnings mobility are large 50

References 52

Annex 2.A. Additional figures 57

Notes 61

3. Perceptions of social mobility in Israel 62

3.1. Introduction 63

3.2. Perceived social mobility in Israel 64

Perceived personal social mobility 64

Perceived societal social mobility 65

Perceived determinants of social and economic success 70

3.3. Attitudes and preferences towards social mobility policy in Israel 74

Many Israelis want more to be done to promote equal opportunities... 74

...and more to be done to tackle income inequality 75

Minimum wages and equal access to education are the policy priorities for many Israelis 77

Comparatively few Israelis support tax increases 78

References 80

Annex 3.A. Additional tables and figures 84

Notes 89

4. Child well-being in Israel 90

4.1. Introduction 91

4.2. Child income poverty and material well-being 94

Child poverty is high in Israel, especially in the Haredi and Israeli-Arab communities 94

4.3. Child health 99

Child health outcomes are good in Israel but again vary across population groups 101

4.4. Education and learning 102

Participation in early childhood education is high in Israel but the sector faces several challenges, particularly around staffing 103

Education performance is poor in Israel, especially for disadvantaged groups 105

4.5. Social and emotional well-being 112

Subjective well-being 112

4.6. Adverse childhood experiences and at-risk children 115

References 117

Annex 4.A. Additional tables and figures 124

Figures 6

Figure 1.1. Younger generations in Israel attain higher levels of education than older cohorts 13

Figure 1.2. Israelis see hard work, good health and background as keys to success 16

Figure 1.3. Income poverty among Israel's children reflects deep social divides 17

Figure 2.1. Younger Israelis are better educated than older cohorts 26

Figure 2.2. Israel has enjoyed strong upward absolute mobility in education 27

Figure 2.3. Intergenerational persistence in education is high in Israel 29

Figure 2.4. Israel has a stubborn educational "sticky floor" and a strong educational "sticky ceiling" 30

Figure 2.5. Israel's "sticky floor" in education is slightly weaker, and its "sticky ceiling" is slightly stronger, for women than for men 32

Figure 2.6. Israeli-Arabs enjoy strong absolute mobility in education but are still less likely to make the jump from upper secondary to tertiary education 34

Figure 2.7. Israeli-Arabs with non-tertiary-educated parents are less than half as likely as their Jewish counterparts to attain a tertiary degree 34

Figure 2.8. Israel's gap in educational performance between students with high- and low-educated parents remains one of the largest in the OECD 35

Figure 2.9. Israel's managerial and professional occupations have expanded substantially 37

Figure 2.10. Half of Israelis reach higher status occupations than their parents 37

Figure 2.11. An increasing share of the children of managers end up as managers themselves, while the chances of the child of a manual worker... 40

Figure 2.12. Men with manual-worker parents are more likely to remain as manual workers, and women with managerial-worker parents more likely... 41

Figure 2.13. Arabic-speakers are less likely to move up the occupational ladder 42

Figure 2.14. Israel's father-son earnings elasticity is similar to the OECD average 44

Figure 2.15. Israel's "sticky ceiling" in earnings is similar to the OECD average, but its "sticky floor" is comparatively strong 46

Figure 2.16. The "sticky floor" in earnings is far stronger for women, and the "sticky ceiling" far stronger for men 48

Figure 2.17. At an individual level, a non-Haredi child with a Soviet Union background has no greater chance of escaping low earnings than others... 49

Figure 2.18. Muslim Israeli-Arabs face a strong "sticky floor" in earnings, especially Muslim Israeli-Arab women 51

Figure 3.1. Upward perceived personal mobility is common in Israel, even among individuals who have moved down the occupational ladder 66

Figure 3.2. In Israel, as in other OECD countries, people believe that children from poor families have limited opportunities to move up the income ladder 67

Figure 3.3. The relative strength of perceived social mobility in Israel matches its mid-range performance in objectively measured earnings mobility 68

Figure 3.4. Many Israelis report being part of a group discriminated against based on ethnicity, nationality, religion or language 69

Figure 3.5. Many Israelis believe success comes from a combination of hard work and factors outside of peoples' control 71

Figure 3.6. Israelis firmly believe that both effort and the right circumstances are important for shaping outcomes 72

Figure 3.7. Most Israelis consider it is wrong that the rich can buy better education for their children than the poor 73

Figure 3.8. A large majority of Israelis think that more should be done to ensure equal opportunities in life 74

Figure 3.9. Demand for action on equal opportunities is higher than might be expected in Israel, given both objective and subjectively measured mobility 75

Figure 3.10. Demand for action on inequality in Israel peaked in 2012 but remains fairly high 76

Figure 3.11. Many Israelis choose minimum wages and equal access to education as their priority actions for tackling inequality and promoting... 77

Figure 3.12. Large numbers of Israelis believe that inequality in education outcomes is too high 79

Figure 3.13. Many Israelis believe the rich are taxed enough already 80

Figure 4.1. Many children in Israel grow up in income poverty 95

Figure 4.2. Adults who had disadvantaged childhoods are less likely ever to attain high-skill employment 96

Figure 4.3. Israeli tax and transfer policy does relatively little to protect children from poverty 98

Figure 4.4. Despite high poverty, Israel does relatively well in ensuring most children have access to material goods and resources 99

Figure 4.5. People who experience poor health as children are more likely to experience poor health as adults 100

Figure 4.6. Infant mortality is low in Israel but varies across groups 101

Figure 4.7. ECEC participation rates are high in Israel, especially for children aged 3-5 104

Figure 4.8. On the PISA reading test, Hebrew-speaking students perform at levels comparable to the OECD's best and Arabic-speaking students... 105

Figure 4.9. Israeli student performance on the OECD PISA reading test varies more widely than in any other OECD country 106

Figure 4.10. Just under one-quarter of students in Israel attend Arab-system schools, and one-fifth Haredi schools 108

Figure 4.11. Arabic-speaking students are just as likely as Hebrew-speaking students to expect to complete tertiary education 110

Figure 4.12. Arabic-speaking students in Israel are more likely to be low performers on the OECD PISA tests than disadvantaged minorities... 111

Figure 4.13. Subjective well-being is high in Israel, even among children from disadvantaged backgrounds 113

Figure 4.14. Girls in Israel are comparatively likely to report multiple subjective health complaints 114

Boxes 8

Box 2.1. Measuring intergenerational educational mobility 27

Box 2.2. OECD PISA results provide no evidence to suggest that educational mobility in Israel is likely to rise 35

Box 2.3. Measuring intergenerational occupational mobility 38

Box 2.4. Research into intergenerational earnings mobility in Israel 43

Box 2.5. Measuring intergenerational earnings mobility 46

Box 2.6. Social mobility among the children of migrants from the former Soviet Union 49

Box 2.7. The role of geography in intergenerational mobility in Israel 51

Box 3.1. Comparatively large numbers of Israelis feel part of a discriminated-against group 68

Box 3.2. Income-based differences in education opportunities are seen as unjust by many Israelis 73

Box 3.3. Many Israelis are unhappy with inequalities in education outcomes 79

Box 4.1. Israel has a large and diverse child population 93

Box 4.2. Child poverty leaves its mark on later employment, health and social outcomes 95

Box 4.3. The schooling system in Israel 107

Box 4.4. Israeli-Arabs students perform worse on the OECD PISA tests than disadvantaged minorities in other OECD countries, like New Zealand... 110

Box 4.5. How did Israel perform on the Survey of Adult Skills (PIAAC) 2023? 114

Box 4.6. The Israeli 360° National Program for Children and Youth at Risk 116

Annex Tables 6

Annex Table 3.A.1. Large numbers of Israelis would like the government to take more action on income inequality 84

Annex Table 4.A.1. Mean student scores on PISA indices on school resources and climate 125

Annex Figures 7

Annex Figure 2.A.1. Gender differences in headline measures of educational mobility are only small 57

Annex Figure 2.A.2. Arabic-speakers have made strong gains in educational attainment 58

Annex Figure 2.A.3. Gender differences in absolute occupational mobility are small 59

Annex Figure 2.A.4. Occupational attainment is much lower among Arabic-speakers than among Hebrew-speakers 60

Annex Figure 3.A.1. Many Israelis believe they have moved up the occupational ladder, even when a comparison of occupational attainment... 85

Annex Figure 3.A.2. In Israel, education is one factor strongly associated with belief in the importance of hard work 86

Annex Figure 3.A.3. Views on the importance of religion for life chances differ strongly with education 87

Annex Figure 3.A.4. Many Israelis believe the government has been unsuccessful at reducing income inequality 87

Annex Figure 3.A.5. Israelis' priority policy actions differ with education and income 88

Annex Figure 3.A.6. Israelis are comparatively hesitant to support tax increases on the rich, even when it is suggested that the revenues could be... 89

Annex Figure 4.A.1. Percentage of students that are low performers on the OECD PISA reading, mathematics and science tests 124

Annex Figure 4.A.2. Variation in PISA reading performance within and between schools 125