Income Inequality and Income Mobility in the Scandinavian Countries Compared to the United States

27 Pages Posted: 7 Nov 2003

See all articles by Rolf Aaberge

Rolf Aaberge

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

Anders Bjorklund

Stockholm University; IZA Institute of Labor Economics

Markus Jantti

Stockholm University

Marten Palme

Stockholm University - Department of Economics; IZA Institute of Labor Economics

Peder J. Pedersen

Department of Economics Aarhus University ; IZA Institute of Labor Economics

Nina Smith

Aarhus University - Department of Economics and Business Economics; IZA Institute of Labor Economics

Tom Wennemo

Statistics Norway

Multiple version iconThere are 2 versions of this paper

Abstract

This paper compares income inequality and income mobility in the Scandinavian countries and the United States during 1980-90. The results suggest that inequality is greater in the United States than in the Scandinavian countries and that this inequality ranking of countries remains unchanged when the accounting period of income is extended from one to eleven years. The pattern of mobility turns out to be remarkably similar, in the sense that the proportionate reduction in inequality from extending the accounting period of income is much the same. But we do find evidence of greater dispersion of first differences of relative earnings and income in the United States. Relative income changes are associated with changes in labor market and marital status in all four countries, but the magnitude of such changes are largest in the United States.

Suggested Citation

Aaberge, Rolf and Bjorklund, Anders and Jantti, Markus and Palme, Marten and Pedersen, Peder J. and Smith, Nina and Wennemo, Tom, Income Inequality and Income Mobility in the Scandinavian Countries Compared to the United States. Available at SSRN: https://ssrn.com/abstract=371554

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

Anders Bjorklund

Stockholm University ( email )

Swedish Institute for Social Research (SOFI)
S-106 91 Stockholm
Sweden
+46 8 163452 (Phone)
+46 8 154670 (Fax)

IZA Institute of Labor Economics

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

Markus Jantti

Stockholm University ( email )

Swedish Institute for Social Research
Stockholm, SE-10691
Sweden
+468162645 (Phone)

HOME PAGE: http://www.abo.fi/~mjantti/

Marten Palme

Stockholm University - Department of Economics ( email )

Universitetsvägen 10 A
House A, floor 4 and 7
Frescati, Stockholm
Sweden
+46163307 (Phone)

IZA Institute of Labor Economics

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

Peder J. Pedersen

Department of Economics Aarhus University ( email )

DK-8000 Aarhus
Denmark
+45 8942 1581 (Phone)
+45 8613 6334 (Fax)

IZA Institute of Labor Economics

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

Nina Smith

Aarhus University - Department of Economics and Business Economics ( email )

Universitetsparken
DK-8000 Aarhus C
Denmark
+45 8948 6413 (Phone)
+45 8615 5175 (Fax)

IZA Institute of Labor Economics

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

Tom Wennemo

Statistics Norway ( email )

N-0033 Oslo
Norway

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
27
Abstract Views
3,070
PlumX Metrics