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Relative Income Distribution in Six European Countries

In: Inequality after the 20th Century: Papers from the Sixth ECINEQ Meeting

Author

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  • Ilaria Petrarca
  • Roberto Ricciuti

Abstract

The relationship between income inequality and polarization is an empirical fact: a change in equality might occur together with a change in polarization. At the same time, polarization might emerge while inequality remains constant. The outcome of this process entails relevant information on the evolution of the income distribution. We exploit the LIS database to perform a relative distribution analysis for six European countries. Our aim is describing how disposable income distributions evolved over time. The results indicate that polarization increased in all the considered countries, being the largest in the United Kingdom and the smallest in Italy. Nonetheless, in all the countries downgrading prevails over upgrading: the relevance of the middle class getting poorer is larger than the one of the middle class getting richer.

Suggested Citation

  • Ilaria Petrarca & Roberto Ricciuti, 2016. "Relative Income Distribution in Six European Countries," Research on Economic Inequality, in: Inequality after the 20th Century: Papers from the Sixth ECINEQ Meeting, volume 24, pages 361-386, Emerald Group Publishing Limited.
    • Handle: RePEc:eme:reinzz:s1049-258520160000024015
    DOI: 10.1108/S1049-258520160000024015
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    Citations

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    Cited by:

    1. Clementi,F. & Fabiani,M. & Molini,V., 2018. "The devil is in the details : growth, polarization, and poverty reduction in Africa in the past two decades," Policy Research Working Paper Series 8494, The World Bank.
    2. Clementi, Fabio & Molini, Vasco & Schettino, Francesco, 2018. "All that Glitters is not Gold: Polarization Amid Poverty Reduction in Ghana," World Development, Elsevier, vol. 102(C), pages 275-291.

    More about this item

    Keywords

    Income distribution; polarization; inequality; relative distribution methods; C14; D31; D63; I32;
    All these keywords.

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty

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