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Income mobility in Spain: How much is there

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  • Olga Cantó-Sánchez

Abstract

Traditional cross-sectional research is unable to measure the degree of income mobility in an income distribution. Using longitudinal data and various income stability indices, this paper measures the level of permanent inequality (immobility) in Spain for the period 1985-92. Results indicate that the transitory component of inequality is large and the level of income mobility increases over time while income inequality decreases slightly. More stability is found at the top than at the bottom of the income distribution and the range of the registered movements is rather short. Copyright 2000 by The International Association for Research in Income and Wealth.

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Paper provided by FEDEA in its series Studies on the Spanish Economy with number 17.

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Handle: RePEc:fda:fdaeee:17

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  1. Rolf Aaberge & Anders Björklund & Markus Jäntti & Mårten Palme & Peder J. Pedersen & Nina Smith & Tom Wennemo, 1996. "Income Inequality and Income Mobility in the Scandinavian Countries Compared to the United States," Discussion Papers, Research Department of Statistics Norway 168, Research Department of Statistics Norway.
  2. Gustafsson, Bjorn, 1994. "The Degree and Pattern of Income Immobility in Sweden," Review of Income and Wealth, International Association for Research in Income and Wealth, International Association for Research in Income and Wealth, vol. 40(1), pages 67-86, March.
  3. Shorrocks, Anthony, 1978. "Income inequality and income mobility," Journal of Economic Theory, Elsevier, Elsevier, vol. 19(2), pages 376-393, December.
  4. Lee A. Lillard & Robert J. Willis, 1976. "Dynamic Aspects of Earnings Mobility," NBER Working Papers 0150, National Bureau of Economic Research, Inc.
  5. Arulampalam, W. & Robin A. Naylor & Jeremy P. Smith, 2002. "University of Warwick," Royal Economic Society Annual Conference 2002, Royal Economic Society 9, Royal Economic Society.
  6. repec:ese:iserwp:96-19 is not listed on IDEAS
  7. John Bibby, 1975. "Methods of measuring mobility," Quality & Quantity: International Journal of Methodology, Springer, Springer, vol. 9(2), pages 107-136, June.
  8. Richard V. Burkhauser & John G. Poupore, 1997. "A Cross-National Comparison Of Permanent Inequality In The United States And Germany," The Review of Economics and Statistics, MIT Press, vol. 79(1), pages 10-17, February.
  9. Jenkins, Stephen P, 1996. "Recent Trends in the UK Income Distribution: What Happened and Why?," Oxford Review of Economic Policy, Oxford University Press, Oxford University Press, vol. 12(1), pages 29-46, Spring.
  10. Gottschald, Peter T, 1982. "Earnings Mobility: Permanent Change or Transitory Fluctuations," The Review of Economics and Statistics, MIT Press, vol. 64(3), pages 450-56, August.
  11. Shorrocks, A F, 1978. "The Measurement of Mobility," Econometrica, Econometric Society, Econometric Society, vol. 46(5), pages 1013-24, September.
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Cited by:
  1. Ayala, L. & Sastre, M., 2002. "Europe vs. The United States: Is There a Trade-Off Between Mobility and Inequality?," European Economy Group Working Papers, European Economy Group 19, European Economy Group.
  2. Van Kerm, Philippe, 2002. "On the magnitude of income mobility in Germany," IRISS Working Paper Series, IRISS at CEPS/INSTEAD 2002-03, IRISS at CEPS/INSTEAD.
  3. Rodrigo Arim & Matías Brum & Andrés Dean & Martín Leites & Gonzalo Salas, 2010. "Movilidad de ingreso y trampas de pobreza : nueva evidencia para los países del Cono Sur," Documentos de Trabajo (working papers) 10-06, Instituto de Economía - IECON.
  4. Maite Blázquez Cuesta, 2006. "Earnings Mobility and Low-Wage Employment in Spain: The Role of Job Mobility and Contractual Arrangements," LoWER Working Papers, AIAS, Amsterdam Institute for Advanced Labour Studies wp11, AIAS, Amsterdam Institute for Advanced Labour Studies.
  5. Andrew M. Jones & Angel López Nicolás, 2004. "Measurement and explanation of socioeconomic inequality in health with longitudinal data," Health Economics, John Wiley & Sons, Ltd., vol. 13(10), pages 1015-1030.
  6. Olga Cantó & Carlos Gradín & Coral del Río, 2010. "Pobreza crónica, transitoria y recurrente en España," Working Papers, Universidade de Vigo, Departamento de Economía Aplicada 1003, Universidade de Vigo, Departamento de Economía Aplicada.
  7. Nicholas Rohde & Kam Ki Tang & Prasada Rao, 2011. "Income volatility and insecurity in the U.S., Germany and Britain," Discussion Papers Series 434, School of Economics, University of Queensland, Australia.
  8. Pérez-Mayo, Jesús, 2004. "Consistent poverty dynamics in Spain," IRISS Working Paper Series, IRISS at CEPS/INSTEAD 2004-09, IRISS at CEPS/INSTEAD.
  9. Jesus Perez-Mayo, 2005. "Identifying deprivation profiles in Spain: a new approach," Applied Economics, Taylor & Francis Journals, Taylor & Francis Journals, vol. 37(8), pages 943-955.
  10. Ronald Bachmann & Peggy Bechara & Sandra Schaffner, 2012. "Wage Inequality and Wage Mobility in Europe," Ruhr Economic Papers, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen 0386, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
  11. Kuhl, Karol, 2003. "Income mobility, unemployment and GDP," IRISS Working Paper Series, IRISS at CEPS/INSTEAD 2003-01, IRISS at CEPS/INSTEAD, revised Oct 2003.
  12. Perez-Mayo, Jesus, 2003. "Measuring deprivation in Spain," IRISS Working Paper Series, IRISS at CEPS/INSTEAD 2003-09, IRISS at CEPS/INSTEAD.
  13. Ingrid Woolard & Stephan Klasen, 2005. "Determinants of Income Mobility and Household Poverty Dynamics in South Africa," Journal of Development Studies, Taylor & Francis Journals, Taylor & Francis Journals, vol. 41(5), pages 865-897.
  14. María Gil Izquierdo & Laura de Pablos Escobar & María Martínez Torres, 2010. "Los determinantes socioeconómicos de la demanda de Educación Superior en España y la movilidad educativa intergeneracional," Hacienda Pública Española, IEF, IEF, vol. 193(2), pages 75-108, June.
  15. Antonio Cutanda, 2002. "La medición de la desigualdad a través de un modelo de elección intertemporal," Hacienda Pública Española, IEF, IEF, vol. 163(4), pages 93-117, December.

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