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Income Inequality: A State-by-State Complex Network Analysis

Author

Listed:
  • Periklis Gogas

    (Democritus University of Thrace)

  • Rangan Gupta

    (University of Pretoria)

  • Stephen M. Miller

    (University of Nevada, Las Vegas and University of Connecticut)

  • Theophilos Papadimitriou

    (Democritus University of Thrace)

  • Georgios Antonios Sarantitis

    (Democritus University of Thrace)

Abstract

This study performs a long-run, inter-temporal analysis of income inequality in the U.S. spanning the period 1916-2012. We employ both descriptive analysis and the Threshold-Minimum Dominating Set methodology from Graph Theory, to examine the evolution of inequality through time. In doing so, we use two alternative measures of inequality: the Top 1% share of income and the Gini coefficient. This provides new insight on the literature of income inequality across the U.S. states. Several empirical findings emerge. First, a heterogeneous evolution of inequality exists across the four focal sub-periods. Second, the results differ between the inequality measures examined. Finally, we identify groups of similarly behaving states in terms of inequality. The U.S. authorities can use these findings to identify inequality trends and innovations and/or examples to investigate the causes of inequality within the U.S. to implement appropriate policies.

Suggested Citation

  • Periklis Gogas & Rangan Gupta & Stephen M. Miller & Theophilos Papadimitriou & Georgios Antonios Sarantitis, 2016. "Income Inequality: A State-by-State Complex Network Analysis," Working papers 2016-18, University of Connecticut, Department of Economics.
    • Handle: RePEc:uct:uconnp:2016-18
    Note: Stephen Miller is the corresponding author
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    Cited by:

    1. Mehmet Balcilar & Seyi Saint Akadiri & Rangan Gupta & Stephen M. Miller, 2019. "Partisan Conflict and Income Inequality in the United States: A Nonparametric Causality-in-Quantiles Approach," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 142(1), pages 65-82, February.
    2. Mehmet Balcilar & Seyi Saint Akadiri & Rangan Gupta & Stephen M. Miller, 2017. "Partisan Conflict and Income Distribution in the United States: A Nonparametric Causality-in-Quantiles Approach," Working Papers 201741, University of Pretoria, Department of Economics.

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    More about this item

    Keywords

    Income inequality; graph theory; U.S. states;
    All these keywords.

    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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