Consolidating the Evidence on Income Mobility in the Western States of Germany and the U.S. From 1984-2006

30 Pages Posted: 15 Dec 2012 Last revised: 9 Jan 2013

See all articles by Gulgun Bayaz-Ozturk

Gulgun Bayaz-Ozturk

CUNY School of Public Health

Richard V. Burkhauser

Cornell University - Department of Policy Analysis & Management (PAM); University of Melbourne, Melbourne Institute

Kenneth A. Couch

University of Connecticut - Department of Economics

Date Written: December 2012

Abstract

The cross-national intragenerational income mobility literature assumes within-country mobility is invariant over the period measured. We argue that a great social transformation--German reunification-- abruptly and permanently altered economic mobility. Using standard measures of mobility (with panel data for the western states of Germany and the U.S.) over the entire period 1984-2006, we find the conventional result that income mobility is greater in Germany. But when we cut the data into moving five-year windows and compare mobility before and after reunification, income mobility declines significantly over the years immediately following reunification in Germany but not in the U.S.

Suggested Citation

Bayaz-Ozturk, Gulgun and Burkhauser, Richard V. and Couch, Kenneth A., Consolidating the Evidence on Income Mobility in the Western States of Germany and the U.S. From 1984-2006 (December 2012). NBER Working Paper No. w18618, Available at SSRN: https://ssrn.com/abstract=2189756

Gulgun Bayaz-Ozturk (Contact Author)

CUNY School of Public Health

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New York, NY 10065
United States

Richard V. Burkhauser

Cornell University - Department of Policy Analysis & Management (PAM) ( email )

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University of Melbourne, Melbourne Institute ( email )

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Kenneth A. Couch

University of Connecticut - Department of Economics ( email )

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United States
860-486-3022 (Phone)
860-486-4463 (Fax)

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