Abstract

We examine income distributions over the last two decades, presenting both non‐parametric kernel density estimates and summary measures. Standard errors of summary measures are also reported to facilitate statistical inference. We find a significant increase in private income inequality, but only a modest increase in disposable income inequality, implying an increase in the inequality‐reducing effects of income taxes and transfers. Using a semi‐parametric procedure developed by DiNardo et al. (1996), we then examine the effects of changes in family characteristics on the distribution of private income, finding that half the increase in inequality is explained by changes in the distribution of employment.

Full Text
Paper version not known

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.