IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this article

Perceived Income Justice Depends on the Economy

Listed author(s):
  • Stefan Liebig
  • Peter Valet
  • Jürgen Schupp

At least half of all employees in Germany described their wages in all three survey years under consideration here - 2005, 2007, and 2009 - as just. Still, major changes occurred over this period in how people perceived their earnings. Data from the Socio- Economic Panel (SOEP) Study show that after an increase in income dissatisfaction in 2007, the percentage of the population who consider their income unjust has again decreased substantially in 2009 - at 30 percent - to 2005 levels. This suggests that in times of economic crisis, people are willing to lower their earnings expectations, while in times of economic growth - like the year 2007 - they expect to share in the benefits of increased prosperity. The analysis shows that it was mainly people in the low to medium income range and in particular skilled workers who perceived their net income as unjust, a perception that remained stable over time. This is partly due to the income taxes paid by these groups. In the upper income segment, in contrast, no negative effect of the income tax burden on perceived income justice is found. Finally, the results confirm previous studies indicating that even in a world in which everyone received the wages they subjectively perceived to be fair, income differences between men and women would still persist. Women's income expectations are significantly lower than men's - even within the individual occupational groups.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL:
Download Restriction: no

Article provided by DIW Berlin, German Institute for Economic Research in its journal Weekly Report.

Volume (Year): 6 (2010)
Issue (Month): 24 ()
Pages: 187-192

in new window

Handle: RePEc:diw:diwwrp:wr6-24
Contact details of provider: Postal:
Mohrenstraße 58, D-10117 Berlin

Phone: xx49-30-89789-0
Fax: xx49-30-89789-200
Web page:

More information through EDIRC

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:diw:diwwrp:wr6-24. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Bibliothek)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.