Title: Accounting for Income Inequality and its Change: A New Method, with Application to the Distribution of Earnings in the United States
Abstract:This paper devises a new method for using the information contained in incomegenerating equations to "account for" or "decompose" the level of income inequality in a country and its change over time.I...This paper devises a new method for using the information contained in incomegenerating equations to "account for" or "decompose" the level of income inequality in a country and its change over time.In the levels decomposition, the shares attributed to each explanatory factor are independent of the particular inequality measure used.Read More