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Convergence in income inequality in the United States: a nonparametric analysis

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  • Roberto Ezcurra
  • Pedro Pascual

Abstract

This note investigates the spatial distribution of income inequality in the US over the period 1969 to 1999. Taking into account the methodological limitations of traditional convergence analysis, a non parametric approach is applied to examine the dynamics of the entire cross-sectional distribution. The study reveals the presence of a process of convergence in income inequality across the US states throughout the sample period, as a result of the evolution experienced by those sates located at both ends of the distribution in 1969. Nevertheless, the estimates performed suggest that this process will not continue indefinitely.

Suggested Citation

  • Roberto Ezcurra & Pedro Pascual, 2009. "Convergence in income inequality in the United States: a nonparametric analysis," Applied Economics Letters, Taylor & Francis Journals, vol. 16(13), pages 1365-1368.
  • Handle: RePEc:taf:apeclt:v:16:y:2009:i:13:p:1365-1368
    DOI: 10.1080/13504850701439319
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    References listed on IDEAS

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    1. Robert J. Barro, 2013. "Inflation and Economic Growth," Annals of Economics and Finance, Society for AEF, vol. 14(1), pages 121-144, May.
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    4. Ravallion, Martin, 2003. "Inequality convergence," Economics Letters, Elsevier, vol. 80(3), pages 351-356, September.
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    6. Costas Megir & Danny Quah, 1996. "Regional Convergence Clusters Across Europe," CEP Discussion Papers dp0274, Centre for Economic Performance, LSE.
    7. Xavier Sala-I-Martin, 1997. "Transfers, Social Safety Nets, and Economic Growth," IMF Staff Papers, Palgrave Macmillan, vol. 44(1), pages 81-102, March.
    8. Quah, Danny, 1996. "Regional Convergence Clusters Across Europe," CEPR Discussion Papers 1286, C.E.P.R. Discussion Papers.
    9. Partridge, Mark D. & Rickman, Dan S. & Levernier, William, 1996. "Trends in U.S. income inequality: Evidence from a panel of states," The Quarterly Review of Economics and Finance, Elsevier, vol. 36(1), pages 17-37.
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    11. Jamie S. Partridge & Mark D. Partridge & Dan S. Rickman, 1998. "State Patterns In Family Income Inequality," Contemporary Economic Policy, Western Economic Association International, vol. 16(3), pages 277-294, July.
    12. Roberto Ezcurra & Pedro Pascual, 2005. "Is there convergence in income inequality levels among the European regions?," Applied Economics Letters, Taylor & Francis Journals, vol. 12(12), pages 763-767.
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    Cited by:

    1. Shatakshee Dhongde & Xing Miao, 2013. "Cross-Country Convergence in Income Inequality," Working Papers 290, ECINEQ, Society for the Study of Economic Inequality.
    2. Nicholas Apergis & Christina Christou & Rangan Gupta & Stephen M. Miller, 2015. "Convergence in Income Inequality: Further Evidence from the Club Clustering Methodology across the U.S. States," Working Papers 201539, University of Pretoria, Department of Economics.
    3. repec:kap:iaecre:v:24:y:2018:i:2:d:10.1007_s11294-018-9675-y is not listed on IDEAS
    4. Ho, Tsung-wu, 2015. "Income inequality may not converge after all: Testing panel unit roots in the presence of cross-section cointegration," The Quarterly Review of Economics and Finance, Elsevier, vol. 56(C), pages 68-79.
    5. Nora Lustig & Daniel Teles, 2016. "Inequality convergence: How sensitive are results to the choice of data?," Working Papers 412, ECINEQ, Society for the Study of Economic Inequality.
    6. Lin, Pei-Chien & Huang, Ho-Chuan (River), 2012. "Inequality convergence revisited: Evidence from stationarity panel tests with breaks and cross correlation," Economic Modelling, Elsevier, vol. 29(2), pages 316-325.
    7. Arfat Ahmad Sofi & S. Raja Sethu Durai, 2016. "Income convergence in India: a nonparametric approach," Economic Change and Restructuring, Springer, vol. 49(1), pages 23-40, February.

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