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Sticky income inequality in the Spanish transition (1973-1990)

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  • Sara Torregrosa Hetland

    (Facultat d'Economia i Empresa; Universitat de Barcelona (UB))

Abstract

This paper investigates the evolution of income inequality in Spain during its transition to democracy, suggesting a method for the correction of under-reporting of earnings and profits in the Household Budget Surveys’ data. The contribution is twofold: the methodological proposal, based on income-expenditure discrepancy and scaling-up to National Accounts, improves on previous work, and can be convenient for similar historical sources in other countries. Secondly, its application results in an alternative history of the distribution of income in this case, changing the levels and also the observed trend. Previous literature asserted a substantial equalization, related to the democratization process, while after the adjustment inequality in disposable income is shown to have been quite persistent.

Suggested Citation

  • Sara Torregrosa Hetland, 2014. "Sticky income inequality in the Spanish transition (1973-1990)," UB School of Economics Working Papers 2014/319, University of Barcelona School of Economics.
    • Handle: RePEc:ewp:wpaper:319web
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    Cited by:

    1. Sara Torregrosa Hetland, 2015. "Did democracy bring redistribution? Insights from the Spanish tax system, 1960–90," European Review of Economic History, European Historical Economics Society, vol. 19(3), pages 294-315.
    2. Sara Torregrosa Hetland, 2015. "Did democracy bring redistribution? Insights from the Spanish tax system, 1960–90," European Review of Economic History, Oxford University Press, vol. 19(3), pages 294-315.
    3. Leandro Prados de la Escosura & Blanca Sánchez-Alonso, 2019. "Economic Development in Spain, 1815-2017," Working Papers 0163, European Historical Economics Society (EHES).
    4. Torregrosa Hetland, Sara, 2017. "The political economy of peripheral tax reform : the Spanish fiscal transition," Lund Papers in Economic History 156, Lund University, Department of Economic History.
    5. Sara Torregrosa, 2015. "Bypassing progressive taxation: fraud and base erosion in the Spanish income tax (1970-2001)," Working Papers 2015/31, Institut d'Economia de Barcelona (IEB).
    6. Sara Torregrosa Hetland, 2014. "A fiscal revolution? Progressivity in the Spanish tax system, 1960-1990," Working Papers 2014/8, Institut d'Economia de Barcelona (IEB).

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    More about this item

    Keywords

    income inequality; income under-reporting; household surveys; democratization.;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • N34 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - Europe: 1913-

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