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Inequality, Poverty And Mobility: Choosing Income Or Consumption As Welfare Indicators

Author

Listed:
  • Carlos Gradín (a)

    (Universidad de Vigo)

  • Olga Cantó

    (Universidad de Vigo)

  • Coral del Río

    (Universidad de Vigo)

Abstract

. The literature on economic income disribution has largely debated the issue of which is the best indicator of individual welfare: income or consumption. The implications of the choice are not only a matter for theoretical discussion but are clearly very relevant when undertaking any empirical distributional analysis. The discussion has largely centred the debate on the implications of this choice on inequality and poverty statics while that on mobility and poverty dynamics is very scarce due, in many occassions, to the availability of consumption survey data in a longitudinal format. In this paper we analyse the effects of choosing income or consumption on household mobility and poverty dynamics using very detailed information on both household incomes and expenditures.

Suggested Citation

  • Carlos Gradín (a) & Olga Cantó & Coral del Río, "undated". "Inequality, Poverty And Mobility: Choosing Income Or Consumption As Welfare Indicators," Working Papers 18-04 Classification-JEL , Instituto de Estudios Fiscales.
    • Handle: RePEc:hpe:wpaper:y:2004:i:18
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    Citations

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    Cited by:

    1. Luis Ayala & Olga Cantó & Juan G. Rodríguez, 2011. "Poverty and the business cycle: The role of the intra-household distribution of unemployment," Working Papers 222, ECINEQ, Society for the Study of Economic Inequality.
    2. Javier Ballesteros Muñoz & Jorge Onrubia, 2022. "Régimen de tenencia de la vivienda habitual y desigualdad de la renta de los hogares españoles," Studies on the Spanish Economy eee2022-26, FEDEA.
    3. Terry Sicular & Yue Ximing & Björn Gustafsson & Li Shi, 2007. "The Urban–Rural Income Gap And Inequality In China," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 53(1), pages 93-126, March.
    4. Gradín, Carlos & Wu, Binbin, 2020. "Income and consumption inequality in China: A comparative approach with India," China Economic Review, Elsevier, vol. 62(C).
    5. Álvarez-Verdejo, Encarnación & Estudillo-Martínez, María Dolores & Castillo-Gutiérrez, Sonia, 2012. "Estimación de la función de distribución y cuantiles en la población de pobres/Estimation of the Distribution Function and Quantiles for the Population of Poor," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 30, pages 1063(26.)-1, Diciembre.
    6. Maharjan, Keshav Lall & Joshi, Niraj Prakash, 2009. "Relationship between Income-poverty and Food insecurity in Rural Far-western Mid-hills of Nepal," MPRA Paper 35378, University Library of Munich, Germany.
    7. Núñez Velázquez, José Javier, 2009. "Estado actual y nuevas aproximaciones a la medición de la pobreza/Current Status and New Approaches to the Measurement of Poverty," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 27, pages 325-346, Agosto.
    8. Torregrosa-Hetland, Sara, 2016. "Sticky Income Inequality In The Spanish Transition (1973-1990)," Revista de Historia Económica / Journal of Iberian and Latin American Economic History, Cambridge University Press, vol. 34(1), pages 39-80, March.
    9. Olga Cantó & Carlos Gradín & Coral Del Río, 2012. "Pobreza Crónica, Transitoria Y Recurrente En España," Revista de Economia Aplicada, Universidad de Zaragoza, Departamento de Estructura Economica y Economia Publica, vol. 20(1), pages 69-94, Spring.
    10. Radek Zdeněk & František Střeleček, 2012. "Income gap between rural and non-rural households — Case of the Czech Republic," Society and Economy, Akadémiai Kiadó, Hungary, vol. 34(3), pages 469-488, September.
    11. Jonathan D. Fisher & David S. Johnson, 2020. "Inequality and Mobility over the Past Half-Century Using Income, Consumption, and Wealth," NBER Chapters, in: Measuring Distribution and Mobility of Income and Wealth, pages 437-455, National Bureau of Economic Research, Inc.
    12. Luis Ayala & Carolina Navarro & Mercedes Sastre, 2011. "Cross-country income mobility comparisons under panel attrition: the relevance of weighting schemes," Applied Economics, Taylor & Francis Journals, vol. 43(25), pages 3495-3521.

    More about this item

    Keywords

    income distribution; sensitivity analysis; expenditure; mobility; poverty dynamics; Spain.;
    All these keywords.

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty

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