The purpose of this book is to theoretically and empirically elucidate the reality of intergenerational income transfer through demand for private supplementary education, which can vary depending on the attributes of households to which children belong, and its impact on social welfare. This is the first study to construct a dynamic model to elucidate the impact of educational inequalities caused by private tutoring on social welfare, which has not been theorized enough, and to reveal the current situation of opportunity disparities in private supplementary tutoring in Japan since the late 1980s using long-term quasi-longitudinal data on family income and expenditures. By constructing a dynamic model to explain the impact of educational inequalities on social welfare arising from private tutoring, this book will make it possible to systematically and more precisely assess the current situation of educational inequalities in Japan caused by private supplementary education and its welfare evaluation.