Completing the Bathtub?: The Development of Top Incomes in Germany, 1907-2007
AbstractThis paper examines the evolution of top incomes in Germany from 1907-2007 with a special focus on past decades. A more detailed analysis of German top incomes is conducted, beginning with a review of selected income distribution measures which indicate that high incomes have played a significant role for income divergence in recent years. Based on newdata it is shown that top income shares have indeed increased substantially in the recent past, a process which is mainly due to a relative rise in employment rather than capital income within the top income groups. Finally, some theories explaining high incomes of the "working rich" are discussed.
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Bibliographic InfoPaper provided by DIW Berlin, The German Socio-Economic Panel (SOEP) in its series SOEPpapers on Multidisciplinary Panel Data Research with number 451.
Length: 43 p.
Date of creation: 2012
Date of revision:
Top income shares; income dispersion; executive compensation;
Find related papers by JEL classification:
- D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
- J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
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