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On the non-stationarity of German income mobility (and some observations on poverty dynamics)

Author

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  • Schluter, Christian

Abstract

The intra-distributional mobility of German income dynamics is analysed using GSOEP. Transition probabilities are found to be time-varying. The tested models comprise various mixed Markov chains in discrete time and a non-stationary mover-stayer model is proposed. In order to explain the observed mobility profiles, we concentrate on one important income class - the poor - instead of the entire transition matrix. Various poverty duration models accommodating unobserved population heterogeneity and duration dependence are examined.

Suggested Citation

  • Schluter, Christian, 1997. "On the non-stationarity of German income mobility (and some observations on poverty dynamics)," LSE Research Online Documents on Economics 6599, London School of Economics and Political Science, LSE Library.
    • Handle: RePEc:ehl:lserod:6599
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    File URL: http://eprints.lse.ac.uk/6599/
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    Citations

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    Cited by:

    1. PEREZ MAYO Jésus, 2004. "Consistent poverty dynamics in Spain," IRISS Working Paper Series 2004-09, IRISS at CEPS/INSTEAD.
    2. Francesco Devicienti, 2011. "Estimating poverty persistence in Britain," Empirical Economics, Springer, vol. 40(3), pages 657-686, May.
    3. Pérez-Mayo, Jesús, 2009. "Un análisis dinámico de la privación en España /A Dynamic Analysis of Deprivation for Spain," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 27, pages 501-522, Agosto.
    4. Francesco Devicienti, 2002. "Poverty persistence in Britain: A multivariate analysis using the BHPS, 1991–1997," Journal of Economics, Springer, vol. 77(1), pages 307-340, December.
    5. Sheldon Danziger & Markus Jäntti, 1999. "Income Poverty in Advanced Countries," LIS Working papers 193, LIS Cross-National Data Center in Luxembourg.

    More about this item

    Keywords

    Intra-distributional mobility; Markovian models; time-varying transition probabilities; poverty;
    All these keywords.

    JEL classification:

    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution

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