Labor & Economic News Blog
Wednesday, November 26, 2008
Trends in Income Inequality, Volatility, and Mobility Risk
Trends in Income Inequality, Volatility, and Mobility RiskA unified measure of inequality, volatility, and mobility risk is developed from well-known decompositions of a generalized entropy inequality measure using panel data. Variation across individuals in mean family income is termed inequality, and the variability of income over time is decomposed into volatility and mobility risk.
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