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Wage Distributions and the Accounting Period: An Assessment of the Shorrocks Effect

In: Economic Well-Being and Inequality: Papers from the Fifth ECINEQ Meeting

Author

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  • Carsten Schröder

Abstract

When individual or household incomes are collected for administrative or scientific surveys, the accounting period is sometimes a month, sometimes a quarter, and sometimes a year. The accounting period likely affects the shape of the income distribution and the level of measured inequality. The present study systematically explores the sensitivity of inter-temporal and inter-regional inequality comparisons to the length of the accounting period.

Suggested Citation

  • Carsten Schröder, 2014. "Wage Distributions and the Accounting Period: An Assessment of the Shorrocks Effect," Research on Economic Inequality, in: Economic Well-Being and Inequality: Papers from the Fifth ECINEQ Meeting, volume 22, pages 421-447, Emerald Group Publishing Limited.
    • Handle: RePEc:eme:reinzz:s1049-258520140000022014
    DOI: 10.1108/S1049-258520140000022014
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    More about this item

    Keywords

    Inequality; volatility; wage distribution; accounting period; Shorrocks effect; D3; D31;
    All these keywords.

    JEL classification:

    • D3 - Microeconomics - - Distribution
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution

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