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Inequality and mobility of household incomes in Europe: evidence from the ECHP

  • Gerhard Riener

In this article we want to shed light on two aspects of income mobility: relative total income mobility using the estimator by Fields and Ok (1999) and equalization of long-run incomes measured by the index of Fields (2009). The cross country comparison shows a negative relationship between total relative mobility and long-run income equalization, this result is contrary to the intuition given by Shorrocks (1978a) who stated that higher relative mobility will cause higher equalization of incomes when the accounting period is extended.

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File URL: http://hdl.handle.net/10.1080/00036846.2010.505555
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Article provided by Taylor & Francis Journals in its journal Applied Economics.

Volume (Year): 44 (2012)
Issue (Month): 3 (January)
Pages: 279-288

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Handle: RePEc:taf:applec:44:y:2012:i:3:p:279-288
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  1. Jarvis, Sarah & Jenkins, Stephen P, 1998. "How Much Income Mobility Is There in Britain?," Economic Journal, Royal Economic Society, vol. 108(447), pages 428-43, March.
  2. repec:ese:iserwp:2002-26 is not listed on IDEAS
  3. Peter Gottschalk & Enrico Spolaore, 2000. "On the Evaluation of Economic Mobility," Boston College Working Papers in Economics 459, Boston College Department of Economics, revised 09 Apr 2001.
  4. Benabou, R. & Ok, E.A., 2000. "Mobility as Progressivity: Ranking Income Processes According to Equality of Opportunity," Papers 211, Princeton, Woodrow Wilson School - Public and International Affairs.
  5. Fields, Gary S & Ok, Efe A, 1999. "Measuring Movement of Incomes," Economica, London School of Economics and Political Science, vol. 66(264), pages 455-71, November.
  6. Jovanovic, Boyan, 1979. "Job Matching and the Theory of Turnover," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 972-90, October.
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