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On the Measurement of Long-Run Income Inequality: Empirical Evidence from Norway, 1875-2013

Author

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  • Aaberge, Rolf

    (Statistics Norway)

  • Atkinson, Tony

    (Nuffield College, Oxford)

  • Modalsli, Jorgen Heibo

    (Statistics Norway)

Abstract

In seeking to understand inequality today, a great deal can be learned from history. However, there are few countries for which the long-run development of income inequality has been charted. Many countries have records of incomes, taxes and social support. This paper presents a new methodology constructing income inequality indices from such data. The methodology is applied to Norway, for which rich historical data sources exist. Taking careful account of the definition of income and population and the availability of micro data starting in 1967, an upper and lower bound for the pre-tax income Gini coefficient is produced.

Suggested Citation

  • Aaberge, Rolf & Atkinson, Tony & Modalsli, Jorgen Heibo, 2017. "On the Measurement of Long-Run Income Inequality: Empirical Evidence from Norway, 1875-2013," IZA Discussion Papers 10574, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp10574
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    References listed on IDEAS

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    1. On the measurement of long-run income inequality. Empirical evidence from Norway, 1875-2013
      by maximorossi in NEP-LTV blog on 2016-10-19 19:25:50

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    Cited by:

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    2. Roberto Iacono & Elisa Palagi, 2020. "Still the lands of equality? On the heterogeneity of individual factor income shares in the Nordics," LEM Papers Series 2020/13, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    3. Aline Bütikofer & René Karadakic & Kjell G. Salvanes, 2021. "Income Inequality and Mortality: A Norwegian Perspective," Fiscal Studies, John Wiley & Sons, vol. 42(1), pages 193-221, March.
    4. Branko Milanovic, 2022. "After the Financial Crisis: The Evolution of the Global Income Distribution Between 2008 and 2013," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 68(1), pages 43-73, March.
    5. Wiemer Salverda, 2019. "Top Incomes, Income and Wealth Inequality in the Netherlands: The first 100 Years 1914-2014 -what's next?," World Inequality Lab Working Papers hal-02877004, HAL.

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    More about this item

    Keywords

    income; inequality; distribution; Norway; long-run changes;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • N33 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - Europe: Pre-1913
    • N34 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - Europe: 1913-

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