We estimate intergenerational poverty persistence in Indonesia using a panel dataset. To the
best of our knowledge, this is the first such study looking at the issue in the Indonesian
context. Different from the majority of studies on this issue, we include controls for several
household and individual characteristics, including for living arrangements. Moreover, to
circumvent data issues that plague earnings data in developing countries, we use chronic
poverty status as a long-term parental welfare measure. We find there is a substantial
intergenerational mobility away from poverty among children from poor households.
However, the risk of continuing to live in poverty as adults is 35 percentage points higher for
children from chronically poor households than for children from households which are not
chronically poor.