IDEAS home Printed from https://ideas.repec.org/p/pie/dsedps/2015-204.html
   My bibliography  Save this paper

Intragenerational Mobility in Italy: a Non-parametric Estimates

Author

Listed:
  • Irene Brunetti
  • Davide Fiaschi

Abstract

The paper proposes a novel methodology based on a non-parametric method to estimate intragenerational income mobility. We apply it to the analysis of mobility of a sample of Italian individuals (between 16 and 65 years old) from the Survey on Household Income and Wealth (SHIW) by the Bank of Italy in the period 1987-2010. First, the linear specification of the Markovian model is estimated removing the assumption of no serial correlation in the error term suggesting a low level of income mobility. Second, a non-linear specification of Markovian model is estimated providing both "local" and global measures of income mobility. Income mobility appears to be low; in particular it reaches a minimum in the middle of income distribution and maximum values at the extreme bounds, with an income elasticity ranging from 0.4 to 0.8 in the relevant range of income (0.5-2). Moreover, from 1987-1998 to 2000-2010 income mobility has increased over time, in particular in the middle of distribution.

Suggested Citation

  • Irene Brunetti & Davide Fiaschi, 2015. "Intragenerational Mobility in Italy: a Non-parametric Estimates," Discussion Papers 2015/204, Dipartimento di Economia e Management (DEM), University of Pisa, Pisa, Italy.
  • Handle: RePEc:pie:dsedps:2015/204
    Note: ISSN 2039-1854
    as

    Download full text from publisher

    File URL: https://www.ec.unipi.it/documents/Ricerca/papers/2015-204.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Quah, Danny, 1997. "Empirics for growth and distribution," LSE Research Online Documents on Economics 2138, London School of Economics and Political Science, LSE Library.
    2. Roland Benabou & Efe A. Ok, 2000. "Mobility as Progressivity: Ranking Income Processes According to Equality of Opportunity," Working Papers 150, Princeton University, School of Public and International Affairs, Discussion Papers in Economics.
    3. Jenkins, Stephen P., 2011. "Changing Fortunes: Income Mobility and Poverty Dynamics in Britain," OUP Catalogue, Oxford University Press, number 9780199226436.
    4. Tito Boeri & Andrea Brandolini, 2004. "The Age of Discontent: Italian Households at the Beginning of the Decade," Giornale degli Economisti, GDE (Giornale degli Economisti e Annali di Economia), Bocconi University, vol. 63(3-4), pages 449-487, December.
    5. Simon N. Wood, 2011. "Fast stable restricted maximum likelihood and marginal likelihood estimation of semiparametric generalized linear models," Journal of the Royal Statistical Society Series B, Royal Statistical Society, vol. 73(1), pages 3-36, January.
    6. Quah, Danny, 1997. "Empirics for Growth and Distribution: Stratification, Polarization, and Convergence Clubs," CEPR Discussion Papers 1586, C.E.P.R. Discussion Papers.
    7. Adolfo Maza & María Hierro & José Villaverde, 2010. "Measuring intra-distribution income dynamics: an application to the European regions," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 45(2), pages 313-329, October.
    8. Danny Quah, 1997. "Empirics for Growth and Distribution," CEP Discussion Papers dp0324, Centre for Economic Performance, LSE.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Davide Fiaschi & Andrea Mario Lavezzi & Angela Parenti, 2020. "Deep and Proximate Determinants of the World Income Distribution," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 66(3), pages 677-710, September.
    2. Licia Ferranna & Margherita Gerolimetto & Stefano Magrini, 2016. "The effect of immigration on convergence dynamics in the US," Working Papers 2016:27, Department of Economics, University of Venice "Ca' Foscari".
    3. Roberto Basile, 2014. "Regional productivity growth in Europe: a Schumpeterian perspective," Gecomplexity Discussion Paper Series 1, Action IS1104 "The EU in the new complex geography of economic systems: models, tools and policy evaluation", revised Nov 2014.
    4. Gianfranco DI VAIO & Michele BATTISTI, 2010. "A Spatially-Filtered Mixture of Beta-Convergence Regression for EU Regions, 1980-2002," Regional and Urban Modeling 284100013, EcoMod.
    5. Sebastian Weber, 2009. "European Financial Market Integration: A Closer Look at Government Bonds in Eurozone Countries," Working Paper / FINESS 1.1b, DIW Berlin, German Institute for Economic Research.
    6. Fofack, Hippolyte, 2008. "Technology trap and poverty trap in Sub-Saharan Africa," Policy Research Working Paper Series 4582, The World Bank.
    7. Jonas Kibala Kuma, 2020. "Solow model and convergence's equation : mathematical processing [Dérivation des équations de convergence dans le modèle de Solow : démarche mathématique]," Working Papers hal-02424875, HAL.
    8. Maza, Adolfo & Villaverde, José, 2011. "EU regional convergence and policy: Does the concept of region matter?," Journal of Policy Modeling, Elsevier, vol. 33(6), pages 889-900.
    9. Henryk Gurgul & Łukasz Lach, 2011. "The impact of regional disparities on economic growth," Operations Research and Decisions, Wroclaw University of Science and Technology, Faculty of Management, vol. 21(2), pages 17-43.
    10. Atanu Ghoshray & Issam Malki, 2021. "The share of the global energy mix: Signs of convergence?," Bulletin of Economic Research, Wiley Blackwell, vol. 73(1), pages 34-50, January.
    11. María Hierro & Adolfo Maza, 2015. "From Discrete To Continuous-Time Transition Matrices In Intra-Distribution Dynamics Analysis: An Application To Per Capita Wealth In Europe," Bulletin of Economic Research, Wiley Blackwell, vol. 67(3), pages 227-235, July.
    12. Andrés Rodríguez-Pose & Riccardo Crescenzi, 2008. "Mountains in a flat world: why proximity still matters for the location of economic activity," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 1(3), pages 371-388.
    13. Camilla Mastromarco & Léopold Simar, 2021. "Latent heterogeneity to evaluate the effect of human capital on world technology frontier," Journal of Productivity Analysis, Springer, vol. 55(2), pages 71-89, April.
    14. Teixidó-Figueras, J. & Duro, J.A., 2014. "Spatial Polarization of the Ecological Footprint Distribution," Ecological Economics, Elsevier, vol. 104(C), pages 93-106.
    15. Cristina Brasili & Luciano Gutierrez, 2004. "Regional convergence across European Union," Development and Comp Systems 0402002, University Library of Munich, Germany.
    16. Miketa, Asami & Mulder, Peter, 2005. "Energy productivity across developed and developing countries in 10 manufacturing sectors: Patterns of growth and convergence," Energy Economics, Elsevier, vol. 27(3), pages 429-453, May.
    17. Jian-Xin Wu & Ling-Yun He, 2017. "The Distribution Dynamics of Carbon Dioxide Emissions Intensity across Chinese Provinces: A Weighted Approach," Sustainability, MDPI, vol. 9(1), pages 1-19, January.
    18. Steven N. Durlauf & Andros Kourtellos & Chih Ming Tan, 2008. "Empirics of Growth and Development," Chapters, in: Amitava Krishna Dutt & Jaime Ros (ed.), International Handbook of Development Economics, Volumes 1 & 2, volume 0, chapter 3, Edward Elgar Publishing.
    19. Leone Leonida & Leone Leonida & Daniel Montolio, 2003. "Public Capital, Growth and Convergence in Spain. A Counterfactual Density Estimation Approach," Working Papers 2003/3, Institut d'Economia de Barcelona (IEB).
    20. Matthew Higgins & Daniel Levy & Andrew T. Young, 2003. "Growth and Convergence across the US: Evidence from County-Level Data," Working Papers 2003-03, Bar-Ilan University, Department of Economics.

    More about this item

    Keywords

    Relative Income Mobility; Mobility Indexes; Markov Chain; Non-parametric Estimate.;
    All these keywords.

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pie:dsedps:2015/204. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/dspisit.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.