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Structural shifts in the dynamics of the European income distribution

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  • Hierro, Mara
  • Maza, Adolfo

Abstract

This paper aims to evaluate structural shifts in the regional per capita income distribution in Europe between the periods 1980-1993 and 1993-2005. After a brief analysis of several aspects of the distribution (inequality, external shape, polarisation and spatial dependence), we focus on intra-distribution dynamics by applying a novel causative matrix model that reveals strong structural shifts. In particular, increase in relative persistence during the second period has been the major change, especially for regions around the average and those at the upper end of the income distribution.

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Bibliographic Info

Article provided by Elsevier in its journal Economic Modelling.

Volume (Year): 26 (2009)
Issue (Month): 3 (May)
Pages: 733-739

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Handle: RePEc:eee:ecmode:v:26:y:2009:i:3:p:733-739

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Web page: http://www.elsevier.com/locate/inca/30411

Related research

Keywords: Intra-distribution dynamic Non-stationary transition probabilities Causative matrix model Structural shift European regions;

References

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Cited by:
  1. ANDRADE, Carlos & PINHO, Carlos & PINHO, Maria de Fátima, 2010. "Exploring Regional Convergence: Evidence From 19 European Countries, 1991-2008," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 10(2).
  2. Le Pen, Yannick, 2011. "A pair-wise approach to output convergence between European regions," Economic Modelling, Elsevier, vol. 28(3), pages 955-964, May.
  3. Maza, Adolfo & Hierro, María & Villaverde, José, 2012. "Income distribution dynamics across European regions: Re-examining the role of space," Economic Modelling, Elsevier, vol. 29(6), pages 2632-2640.

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