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Income Inequality: A State-by-State Complex Network Analysis

Author

Listed:
  • Periklis Gogas

    (Democritus University of Thrace, Department of Economics)

  • Rangan Gupta

    (Department of Economics, University of Pretoria)

  • Stephen Miller

    (Department of Economics, University of Nevada, Las Vegas)

  • Theophilos Papadimitriou

    (Democritus University of Thrace, Department of Economics)

  • Georgios Sarantitis

    (Democritus University of Thrace, Department of Economics)

Abstract

This study performs a long-run, inter-temporal analysis of income inequality in the U.S. spanning 1916-2012. We employ both descriptive analysis and the Threshold-Minimum Dominating Set from Graph Theory to examine the evolution of inequality through time.. In doing so, we use two alternative measures of inequality: the Top 1% share of income and the Gini coefficient. This provides new insight on the literature of income inequality across the U.S. states. Several empirical findings emerge. First, there is a heterogeneous evolution of inequality across the four focal sub-periods. Second, the results differ between the inequality measures examined. Finally, we identify groups of similarly behaving states in terms of inequality. These findings can be used by the U.S. authorities to identify inequality trends and innovations and/or examples to investigate the causes of inequality within the U.S. in order to implement appropriate policies

Suggested Citation

  • Periklis Gogas & Rangan Gupta & Stephen Miller & Theophilos Papadimitriou & Georgios Sarantitis, 2016. "Income Inequality: A State-by-State Complex Network Analysis," DUTH Research Papers in Economics 2-2016, Democritus University of Thrace, Department of Economics.
    • Handle: RePEc:ris:duthrp:2016_002
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    Cited by:

    1. Mehmet Balcilar & Seyi Saint Akadiri & Rangan Gupta & Stephen M. Miller, 2017. "Partisan Conflict and Income Distribution in the United States: A Nonparametric Causality-in-Quantiles Approach," Working Papers 201741, University of Pretoria, Department of Economics.
    2. Mehmet Balcilar & Seyi Saint Akadiri & Rangan Gupta & Stephen M. Miller, 2019. "Partisan Conflict and Income Inequality in the United States: A Nonparametric Causality-in-Quantiles Approach," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 142(1), pages 65-82, February.

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    Keywords

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    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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