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Top Incomes in Sweden during Three-Quarters of a Century: A Micro Data Approach

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  • Gustafsson, Björn Anders

    ()
    (University of Gothenburg)

  • Jansson, Birgitta

    ()
    (University of Gothenburg)

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    Abstract

    This paper aims to throw light on the development of top incomes in Sweden as well as the causes for change. Using household income data we show that since the first half of the 1980s, real income at the top of the distribution has developed more favourably than for other groups. This contrasts with the changes which occurred prior to the 1980s. Reasons for the rise in the top income share are several: the development of stock prices, the tax reform which made income taxes not progressive at the top of the scale, and the labour market change of top wages increasing more rapidly than others.

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    Bibliographic Info

    Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2672.

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    Length: 32 pages
    Date of creation: Mar 2007
    Date of revision:
    Publication status: published in: Cambridge Journal of Economics, 2008, 32 (6), 963-976
    Handle: RePEc:iza:izadps:dp2672

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    Related research

    Keywords: income distribution; tax reform; Sweden;

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    References

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    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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    1. Anthony B. Atkinson, 2005. "Comparing the Distribution of Top Incomes Across Countries," Journal of the European Economic Association, MIT Press, MIT Press, vol. 3(2-3), pages 393-401, 04/05.
    2. Anthony B. Atkinson & Andrew Leigh, 2007. "The Distribution of Top Incomes in Australia," The Economic Record, The Economic Society of Australia, The Economic Society of Australia, vol. 83(262), pages 247-261, 09.
    3. Simon Kuznets & Elizabeth Jenks, 1953. "Shares of Upper Income Groups in Income and Savings," NBER Books, National Bureau of Economic Research, Inc, National Bureau of Economic Research, Inc, number kuzn53-1.
    4. Fabien Dell, 2005. "Top Incomes in Germany and Switzerland Over the Twentieth Century," Journal of the European Economic Association, MIT Press, MIT Press, vol. 3(2-3), pages 412-421, 04/05.
    5. Roine, Jesper & Waldenström, Daniel, 2005. "Top Incomes in Sweden over the Twentieth Century," Working Paper Series in Economics and Finance, Stockholm School of Economics 602, Stockholm School of Economics.
    6. Emmanuel Saez, 2005. "Top Incomes in the United States and Canada Over the Twentieth Century," Journal of the European Economic Association, MIT Press, MIT Press, vol. 3(2-3), pages 402-411, 04/05.
    7. Alvaredo, Facundo & Saez, Emmanuel, 2006. "Income and Wealth Concentration in Spain in a Historical and Fiscal Perspective," CEPR Discussion Papers, C.E.P.R. Discussion Papers 5836, C.E.P.R. Discussion Papers.
    8. Anthony B. Atkinson & Wiemer Salverda, 2005. "Top Incomes In The Netherlands And The United Kingdom Over The 20th Century," Journal of the European Economic Association, MIT Press, MIT Press, vol. 3(4), pages 883-913, 06.
    9. Gustafsson, Bjorn & Palmer, Edward, 2002. "Was the Burden of the Deep Swedish Recession Equally Shared?," Review of Income and Wealth, International Association for Research in Income and Wealth, International Association for Research in Income and Wealth, vol. 48(4), pages 537-60, December.
    10. James Albrecht & Anders Bjorklund & Susan Vroman, 2003. "Is There a Glass Ceiling in Sweden?," Journal of Labor Economics, University of Chicago Press, University of Chicago Press, vol. 21(1), pages 145-177, January.
    11. Thomas Piketty, 2005. "Top Income Shares in the Long Run: An Overview," Journal of the European Economic Association, MIT Press, MIT Press, vol. 3(2-3), pages 382-392, 04/05.
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    Cited by:
    1. Stefan Bach & Giacomo Corneo & Viktor Steiner, 2007. "From Bottom to Top: The Entire Distribution of Market Income in Germany, 1992-2001," SOEPpapers on Multidisciplinary Panel Data Research 51, DIW Berlin, The German Socio-Economic Panel (SOEP).

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