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

Listed author(s):
  • Periklis Gogas

    (Democritus University of Thrace)

  • Rangan Gupta

    (University of Pretoria)

  • Stephen M. Miller

    (University of Nevada, Las Vegas and University of Connecticut)

  • Theophilos Papadimitriou

    (Democritus University of Thrace)

  • Georgios Antonios Sarantitis

    (Democritus University of Thrace)

This study performs a long-run, inter-temporal analysis of income inequality in the U.S. spanning the period 1916-2012. We employ both descriptive analysis and the Threshold-Minimum Dominating Set methodology 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, a heterogeneous evolution of inequality exists 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. The U.S. authorities can use these findings to identify inequality trends and innovations and/or examples to investigate the causes of inequality within the U.S. to implement appropriate policies.

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File URL: http://web2.uconn.edu/economics/working/2016-18.pdf
File Function: Full text
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Paper provided by University of Connecticut, Department of Economics in its series Working papers with number 2016-18.

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Length: 36 pages
Date of creation: Sep 2016
Handle: RePEc:uct:uconnp:2016-18
Note: Stephen Miller is the corresponding author
Contact details of provider: Postal:
University of Connecticut 365 Fairfield Way, Unit 1063 Storrs, CT 06269-1063

Phone: (860) 486-4889
Fax: (860) 486-4463
Web page: http://www.econ.uconn.edu/

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References listed on IDEAS
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