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The income–inequality nexus in a developed country: small-scale regional evidence from Austria

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  • Mathias Moser
  • Matthias Schnetzer

Abstract

The income–inequality nexus in a developed country: small-scale regional evidence from Austria. Regional Studies. This paper analyses the relationship between regional inequality and average income in a small-scale framework for Austria. The empirical findings are based on a novel inequality database generated from individual wage tax information at the municipality level. This study researches the magnitude of regional spillovers of income and inequality using spatial econometric methods. The results show a pronounced positive relation between regional income levels and inequality, where especially high-income municipalities exhibit a large spread in the income distribution. Furthermore, it shows that higher levels of inequality are associated with income gains at the top of the distribution.

Suggested Citation

  • Mathias Moser & Matthias Schnetzer, 2017. "The income–inequality nexus in a developed country: small-scale regional evidence from Austria," Regional Studies, Taylor & Francis Journals, vol. 51(3), pages 454-466, March.
  • Handle: RePEc:taf:regstd:v:51:y:2017:i:3:p:454-466
    DOI: 10.1080/00343404.2015.1103848
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    File URL: http://hdl.handle.net/10.1080/00343404.2015.1103848
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    Cited by:

    1. repec:spr:soinre:v:141:y:2019:i:1:d:10.1007_s11205-017-1814-y is not listed on IDEAS
    2. Markus Knell & Helmut Stix, 2017. "Inequality, Perception Biases and Trust," Working Papers 211, Oesterreichische Nationalbank (Austrian Central Bank).
    3. Stefan Jestl & Mathias Moser & Anna K. Raggl, 2017. "Can’t Keep Up with the Joneses: How Relative Deprivation Pushes Internal Migration in Austria," wiiw Working Papers 137, The Vienna Institute for International Economic Studies, wiiw.

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