Divergent Inequalities - Theory and Empirical Results (Revised Edition)
Widely used summary measures of inequality or the "disappearing middle class" are potentially misleading. Divergences between evidence cited and conclusions drawn include failing to distinguish the concepts of inequality and polarization, and using scalar oinequalityo measures which are not consistent with rankings based on Lorenz curves. In addition, inappropriate claims about trends in inequality can arise from focusing on only a sub-population such as full-time male workers, and failing to account for sampling variability. These divergences are illustrated using Canadian data on labour incomes over the 1967 to 1994 period.
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- Levy, Frank & Murnane, Richard J, 1992. "U.S. Earnings Levels and Earnings Inequality: A Review of Recent Trends and Proposed Explanations," Journal of Economic Literature, American Economic Association, vol. 30(3), pages 1333-81, September.
- Steven J. Davis, 1992.
"Cross-Country Patterns of Change in Relative Wages,"
NBER Working Papers
4085, National Bureau of Economic Research, Inc.
- Steven J. Davis, 1992. "Cross-Country Patterns of Change in Relative Wages," NBER Chapters, in: NBER Macroeconomics Annual 1992, Volume 7, pages 239-300 National Bureau of Economic Research, Inc.
- James Foster & Michael Wolfson, 2010. "Polarization and the decline of the middle class: Canada and the U.S," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 8(2), pages 247-273, June.
- Beach, C.M., 1988. "The "Vanishing" Middle Class?: Evidence and Explanations," Papers 1988-5, Queen's at Kingston - Sch. of Indus. Relat. Papers in Industrial Relations.
- Wolfson, Michael C, 1994. "When Inequalities Diverge," American Economic Review, American Economic Association, vol. 84(2), pages 353-358, May.
- John A. Bishop & John P. Formby & W. James Smith, 1993. "International Comparisons of Welfare and Poverty: Dominance Orderings for Ten Countries," Canadian Journal of Economics, Canadian Economics Association, vol. 26(3), pages 707-726, August.
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