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Income Inequality Data in Growth Empirics: From Cross-Sections to Time Series

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N. GOBBIN ()
G. RAYP ()

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Abstract

As in any other field of applied macro-economic or econometric research, researchers who study income inequality have to look for suitable data. Although most researchers just draw on some ready-made dataset, finding reliable data is not that straightforward and can even be very troublesome. This paper highlights some of the pitfalls in the use of inequality data. We deal with sampling problems, the choice of equivalence scale, one dimensional inequality measures, etc. We also introduce and describe a new secondary dataset on inequality data for a number of OECD countries. The main innovation of the dataset is that it creates the possibility to perform a time series analysis on inequality data. The data bring to the fore an additional problem: non-stationary behaviour of inequality series.

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Publisher Info
Paper provided by Ghent University, Faculty of Economics and Business Administration in its series Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium with number 04/252.

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Length: 37 pages
Date of creation: Jun 2004
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Handle: RePEc:rug:rugwps:04/252

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Find related papers by JEL classification:
C82 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Macroeconomic Data
O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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  1. Anthony B. Atkinson & Andrea Brandolini, 2000. "Promise and Pitfalls in the Use of 'Secondary' Data-Sets: Income Inequality in OECD Countries," Temi di discussione (Economic working papers) 379, Bank of Italy, Economic Research Department. [Downloadable!]
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  2. Jan Hanousek & Dana Hajkova & Randall K. Filer, 2004. "The Other Side of the Moon: The Data Problem in Analyzing Growth Determinants," William Davidson Institute Working Papers Series 2004-682, William Davidson Institute at the University of Michigan Stephen M. Ross Business School. [Downloadable!]
  3. Martin Browning & Pierre-Andre Chiappori & Arthur Lewbel, 2006. "Estimating Consumption Economies of Scale, Adult Equivalence Scales, and Household Bargaining Power," Economics Series Working Papers 289, University of Oxford, Department of Economics. [Downloadable!]
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  4. Stephen P. Jenkins & Philippe Van Kerm, 2006. "Trends in income inequality, pro-poor income growth, and income mobility," Oxford Economic Papers, Oxford University Press, vol. 58(3), pages 531-548, July. [Downloadable!] (restricted)
    Other versions:
  5. Niko Gobbin & Glenn Rayp, 2004. "Inequality and Growth: Does Time Change Anything," Development and Comp Systems 0402005, EconWPA. [Downloadable!]
    Other versions:
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