On the Measurement of Long-Run Income Inequality: Empirical Evidence from Norway, 1875-2013

88 Pages Posted: 27 Feb 2017

See all articles by Rolf Aaberge

Rolf Aaberge

Statistics Norway; Institute for the Study of Labor (IZA); Deaprtment of Economics

Anthony B. Atkinson

University of Oxford - Nuffield College of Medicine; CESifo (Center for Economic Studies and Ifo Institute)

Jorgen Modalsli

Statistics Norway

Abstract

In seeking to understand inequality today, a great deal can be learned from history. However, there are few countries for which the long-run development of income inequality has been charted. Many countries have records of incomes, taxes and social support. This paper presents a new methodology constructing income inequality indices from such data. The methodology is applied to Norway, for which rich historical data sources exist. Taking careful account of the definition of income and population and the availability of micro data starting in 1967, an upper and lower bound for the pre-tax income Gini coefficient is produced.

Keywords: income, inequality, distribution, Norway, long-run changes

JEL Classification: D31, D63, N33, N34

Suggested Citation

Aaberge, Rolf and Atkinson, Anthony B. and Modalsli, Jorgen, On the Measurement of Long-Run Income Inequality: Empirical Evidence from Norway, 1875-2013. IZA Discussion Paper No. 10574, Available at SSRN: https://ssrn.com/abstract=2923660

Rolf Aaberge (Contact Author)

Statistics Norway ( email )

N-0033 Oslo
Norway

Institute for the Study of Labor (IZA) ( email )

P.O. Box 7240
Bonn, D-53072
Germany

Deaprtment of Economics ( email )

Norway

Anthony B. Atkinson

University of Oxford - Nuffield College of Medicine

CESifo (Center for Economic Studies and Ifo Institute)

Jorgen Modalsli

Statistics Norway ( email )

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