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Inequality and Mobility of Household Incomes in Europe. Evidence from the ECHP

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  • Riener, Gerhard

    (Department of Economics, University of Essex, Essex, United Kingdom)

Abstract

In this paper I want to shed light on two aspects of income mobility: relative total income mobility using the estimator by Fields and Ok [1999] and equalization of long-run incomes measured by the index of Fields [2004]. The cross country comparison shows a negative relationship between total relative mobility and long-run income equalization, this results is contrary to the intuition given by Shorrocks [1978a] who stated, that higher relative mobility will cause higher equalization of incomes when the accounting period is extended.

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File URL: http://www.ihs.ac.at/publications/eco/es-195.pdf
File Function: First version, 2006
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Bibliographic Info

Paper provided by Institute for Advanced Studies in its series Economics Series with number 195.

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Length: 18 pages
Date of creation: Sep 2006
Date of revision:
Handle: RePEc:ihs:ihsesp:195

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Related research

Keywords: Income distribution; Economic mobility; Inequality;

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References

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  1. R. Bénabou & E. Ok, . "Mobility as Progressivity: Ranking Income Processes According to Equality of Opportunity," Princeton Economic Theory Papers 00f1, Economics Department, Princeton University.
  2. Peter Gottschalk & Enrico Spolaore, 1998. "On the Evaluation of Economic Mobility," Boston College Working Papers in Economics 407., Boston College Department of Economics.
  3. repec:ese:iserwp:2002-26 is not listed on IDEAS
  4. Jovanovic, Boyan, 1979. "Job Matching and the Theory of Turnover," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 972-90, October.
  5. Ayala, L. & Sastre, M., 2002. "Europe vs. The United States: Is There a Trade-Off Between Mobility and Inequality?," European Economy Group Working Papers 19, European Economy Group.
  6. Jarvis, Sarah & Jenkins, Stephen P, 1998. "How Much Income Mobility Is There in Britain?," Economic Journal, Royal Economic Society, vol. 108(447), pages 428-43, March.
  7. Fields, Gary S & Ok, Efe A, 1999. "Measuring Movement of Incomes," Economica, London School of Economics and Political Science, vol. 66(264), pages 455-71, November.
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Cited by:
  1. Fonseca, Miguel A. & Normann, Hans-Theo, 2012. "Explicit vs. tacit collusion—The impact of communication in oligopoly experiments," European Economic Review, Elsevier, vol. 56(8), pages 1759-1772.

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