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A mobility decomposition of absolute measures of panel distributional change

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  • Seth, Suman
  • Yalonetzky, Gaston

Abstract

This paper proposes a decomposition of a general class of absolute measures of panel welfare change into growth, dispersion and exchange mobility components, which is useful for both intergenerational and intragenerational mobility assessments. We show that this decomposition is the only one within a broad set of possibilities that satisfies a key dispersion-sensitivity property and that prioritising improvements among those initially poorest is identical to a favourable view of exchange mobility.

Suggested Citation

  • Seth, Suman & Yalonetzky, Gaston, 2021. "A mobility decomposition of absolute measures of panel distributional change," Economics Letters, Elsevier, vol. 201(C).
    • Handle: RePEc:eee:ecolet:v:201:y:2021:i:c:s0165176521000501
    DOI: 10.1016/j.econlet.2021.109773
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    References listed on IDEAS

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    1. Flaviana Palmisano & Dirk Van de gaer, 2016. "History-dependent growth incidence: a characterization and an application to the economic crisis in Italy," Oxford Economic Papers, Oxford University Press, vol. 68(2), pages 585-603.
    2. Walter Bossert & Bhaskar Dutta, 2019. "The measurement of welfare change," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 53(4), pages 603-619, December.
    3. Stephen P. Jenkins & Philippe Van Kerm, 2016. "Assessing Individual Income Growth," Economica, London School of Economics and Political Science, vol. 83(332), pages 679-703, October.
    4. Frank A. Cowell, 1985. "Measures of Distributional Change: An Axiomatic Approach," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 52(1), pages 135-151.
    5. Shatakshee Dhongde & Jacques Silber, 2016. "On distributional change, pro-poor growth and convergence," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 14(3), pages 249-267, September.
    6. Thomas Demuynck & Dirk Van de gaer, 2012. "Inequality Adjusted Income Growth," Economica, London School of Economics and Political Science, vol. 79(316), pages 747-765, October.
    7. Ravallion, Martin & Chen, Shaohua, 2003. "Measuring pro-poor growth," Economics Letters, Elsevier, vol. 78(1), pages 93-99, January.
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    Cited by:

    1. Monroy-Gómez-Franco, Luis Angel, 2022. "Regional comparisons of intergenerational social mobility: the importance of positional mobility," SocArXiv zgfvk, Center for Open Science.
    2. Monroy-Gómez-Franco, Luis, 2023. "The importance of positional mobility for regional comparisons," Research in Economics, Elsevier, vol. 77(3), pages 322-333.

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    More about this item

    Keywords

    Egalitarian growth; Mobility decomposition; Panel distributional change;
    All these keywords.

    JEL classification:

    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty

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