The "Chinese dream" emphasizes upward social mobility and high well-being. This study aims to understand the relationship between subjective intergenerational mobility (SIGM) and well-being in China. Previous research using the China General Social Survey (CGSS) indicated an upward trend in SIGM between 2006 and 2013, influenced by factors like education, political status, and employment. However, more comprehensive and conclusive evidence is needed, particularly regarding long-term trends and regional variations. While research on intergenerational mobility exists for developed and developing countries, studies specifically focusing on long-term SIGM in China and its relationship with well-being remain limited. This gap is crucial to address because understanding the dynamics of SIGM is essential for policy-making aimed at promoting common prosperity and enhancing overall societal well-being in China. The current study uses data from the China Labor Force Dynamics Survey (CLDS) to offer new empirical evidence on this relationship and provides a new policy perspective for improving the well-being of Chinese residents.

Existing literature demonstrates a significant correlation between intergenerational mobility and well-being, although the nature of this relationship remains debated. Studies in developed countries reveal varying degrees of intergenerational earnings mobility, with higher elasticity observed in developed compared to developing nations. Research also suggests that SIGM significantly impacts self-rated health and perceived inequality. Upward income mobility, for instance, correlates positively with men's self-rated health. However, the impact of SIGM on well-being requires further exploration, especially in developing countries like China, where the interplay between objective and subjective factors influences an individual's well-being. Studies highlighting the influence of perceived social class position and upward mobility on happiness further underscore the importance of incorporating subjective measures in understanding the complex relationship between mobility and well-being.

The study utilizes data from the China Labor Force Dynamics Survey (CLDS) from 2012, 2014, and 2016, comprising 33,605 valid responses from individuals aged 26-60. The data includes information on education, subjective social status, income, health, and well-being. The researchers employed several methods to estimate SIGM and its effect on well-being. First, they calculated absolute SIGM using two equations, one considering the percentage change in subjective social hierarchy between generations and another focusing on the absolute difference. Subjective intergenerational elasticity (SIGE) was estimated by regressing children's subjective social status on parents' subjective social status, controlling for demographic variables. To account for potential measurement error, a more robust method based on absolute differences in social status ranks was used. The researchers also employed an intergenerational transition matrix to analyze mobility patterns. Furthermore, they calculated subjective intergenerational correlation (SIGC) to account for the dispersion of social status in both generations. The subjective intergenerational rank-rank slope was employed to examine the relationship between children's and parents' social status ranks. Finally, they used regression models to assess the impact of SIGM on subjective well-being, controlling for demographic characteristics, year, and city fixed effects. Multiple robustness checks were performed, including propensity score matching, inclusion of work and income variables, and employing alternative well-being measures. Heterogeneity checks examined differences across birth cohorts and regions (eastern, middle, western) and between high and low-income groups. Mediation analyses investigated the role of self-rated health and subjective social inequality in the SIGM-well-being relationship. The subjective Great Gatsby curve was analyzed by correlating SIGE and SIGM with individual subjective inequality.

The study's key findings include: 1. **Upward Trend in SIGM:** Chinese residents, especially those born in the 1950s, experienced significant upward subjective intergenerational mobility. However, this trend showed a decrease for those born in later cohorts. Regional variations exist, with the western region showing higher levels of upward SIGM than the eastern and middle regions. 2. **Positive Impact of SIGM on Well-being:** SIGM has a positive and significant impact on well-being. This effect is robust across various robustness checks and remains consistent when considering different well-being measures. The positive effect was stronger for individuals born in earlier cohorts and those with lower incomes. 3. **Mediating Role of Self-Health and Inequality:** The positive impact of SIGM on well-being is mediated through self-rated health and subjective social inequality. SIGM indirectly improves well-being by improving self-health and reducing the negative effect of perceived inequality. The mediating effect through subjective inequality is more substantial than through self-health. 4. **Subjective Great Gatsby Curve:** The study confirms the existence of a subjective Great Gatsby Curve in China. A positive correlation was found between SIGE and subjective inequality, while a negative correlation existed between SIGM and subjective inequality. This suggests a complex relationship where increased upward mobility can be associated with both increased and decreased inequality depending on the measurement used.

The findings of this study address the research question by providing strong empirical evidence for a positive relationship between subjective intergenerational mobility and well-being in China. This relationship is complex and nuanced, with the effects mediated through self-rated health and perceptions of inequality. The significance of the results lies in its contribution to a better understanding of the subjective experience of social mobility and its impact on life satisfaction in a rapidly developing country. The study's findings have considerable relevance to the field of social stratification and mobility, particularly in the context of China's ongoing economic transformation and its commitment to achieving common prosperity. The observed regional variations in SIGM highlight the importance of considering contextual factors when analyzing social mobility. Further research should explore the mechanisms through which SIGM affects well-being in more detail, paying special attention to the interaction between objective and subjective measures of mobility and the role of specific policies and social institutions in shaping these experiences.

This study provides novel insights into subjective intergenerational mobility and its impact on well-being in China. The findings highlight the importance of subjective perceptions in shaping individual experiences of social mobility and their relationship with life satisfaction. Future research should explore the role of objective measures such as income mobility alongside subjective measures, investigate the long-term consequences of SIGM, and analyze the effectiveness of policies designed to promote social mobility and improve well-being. The observed relationship between subjective intergenerational mobility, self-rated health, subjective inequality, and well-being emphasizes the need for multi-faceted approaches aimed at fostering both economic advancement and improving overall social well-being in China.

The study acknowledges several limitations. First, the absence of parental income data in the CLDS prevented the estimation of intergenerational income mobility. Future studies should incorporate such data for a more comprehensive comparison between objective and subjective mobility. Second, the use of a 10-point scale for subjective social status may have led to some underestimation of mobility. Finally, the cross-sectional nature of the data limits the ability to establish causal relationships. Longitudinal studies are needed to strengthen the causal inferences about the relationship between SIGM and well-being.