Using Personal Car Register for Measuring Economic Inequality in Countries with a Large Share of Shadow Economy: Evidence for Latvia
AbstractWe suggest to use information from the state register of personal cars as an alternative indicator of economic inequality in countries with a large share of shadow economy. We illustrate our approach using the Latvian pool of personal cars. Our main finding is that the extent of household economic inequality in Latvia is much larger than officially assumed. The latest officially available estimate of the Gini coefficient is 0.36 for 2005, which is much lower than 0.55 for 2009 reported in our paper.
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Bibliographic InfoPaper provided by KOF Swiss Economic Institute, ETH Zurich in its series KOF Working papers with number 11-287.
Length: 9 pages
Date of creation: Sep 2011
Date of revision:
Economic inequality; cars; social signaling; Gini index; Latvia;
Other versions of this item:
- Vyacheslav Dombrovsky & Konstantin A. Kholodilin & Boriss Siliverstovs, 2011. "Using Personal Car Register for Measuring Economic Inequality in Countries with a Large Share of Shadow Economy: Evidence for Latvia," Discussion Papers of DIW Berlin 1153, DIW Berlin, German Institute for Economic Research.
- D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
- E26 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Informal Economy; Underground Economy
- Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Social and Economic Stratification
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