An individual-based approach to measurement of multiple-period mobility for nominal and ordinal variables
This paper discusses meanings of intra-generational mobility when variables take values corresponding to either unordered or ordered categories. We propose concepts of maximum and minimum mobility, along with mobility-inducing transformations and related desirable properties. Then we axiomatically characterize indices of individual mobility and social mobility. Our first set of concepts, properties and indices, measures mobility as diversity, unpredictability or instability in people’s status along the accounting period. This notion of mobility is relevant and applicable to both nominal and ordinal variables. Our second set measures mobility as average distance travelled across categories from one period to the next. This latter notion is only relevant for ordinal variables. We apply these indices to measure the extent of mobility in the responses to subjective wellbeing questions in the United Kingdom, using the British Household Panel Survey.
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- Kai-yuen Tsui, 2009. "Measurement of income mobility: a re-examination," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 33(4), pages 629-645, November.
- Shorrocks, Anthony, 1978. "Income inequality and income mobility," Journal of Economic Theory, Elsevier, vol. 19(2), pages 376-393, December.
- Shorrocks, A F, 1978. "The Measurement of Mobility," Econometrica, Econometric Society, vol. 46(5), pages 1013-1024, September. Full references (including those not matched with items on IDEAS)
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