Educational Impacts and Rising Inequality in the Us

26 Pages Posted: 16 Jun 2003

See all articles by Daniel L. Millimet

Daniel L. Millimet

Southern Methodist University (SMU) - Department of Economics; IZA Institute of Labor Economics

Daniel J. Slottje

Southern Methodist University (SMU) - Department of Economics

Shlomo Yitzhaki

Hebrew University of Jerusalem - Department of Economics; National Bureau of Economic Research (NBER)

Sourushe Zandvakili

University of Cincinnati - Department of Economics

Date Written: March 2002

Abstract

This study integrates two bodies of work to explore how changes in human capital have impacted the distribution of household permanent income. Introducing a human capital accumulation model, a framework is established - utilizing the special properties of the Gini coefficient - which maps changes in human capital into changes in the distribution of household permanent income. Using US data from the panel Study of Income Dynamics, the results indicate that changes in the level of and return to schooling are not major contributors to the recent rise in household permanent income inequality in the US.

Keywords: Inequality, Human Capital, Permanent Income, Gini Coefficient

JEL Classification: C1, D1, D3, I2

Suggested Citation

Millimet, Daniel L. and Slottje, Daniel J. and Yitzhaki, Shlomo and Zandvakili, Sourushe, Educational Impacts and Rising Inequality in the Us (March 2002). Available at SSRN: https://ssrn.com/abstract=408880

Daniel L. Millimet

Southern Methodist University (SMU) - Department of Economics ( email )

Box 750496
Dallas, TX 75275
United States
214-768-3269 (Phone)
214-768-1821 (Fax)

HOME PAGE: http:\\www.smu.edu\~millimet

IZA Institute of Labor Economics

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

Daniel J. Slottje

Southern Methodist University (SMU) - Department of Economics ( email )

Dallas, TX 75275
United States

Shlomo Yitzhaki (Contact Author)

Hebrew University of Jerusalem - Department of Economics ( email )

Mount Scopus
Jerusalem, 91905
Israel
+972 2 659 2201 (Phone)
+972 2 652 2319 (Fax)

National Bureau of Economic Research (NBER) ( email )

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

Sourushe Zandvakili

University of Cincinnati - Department of Economics ( email )

Carl H. Lindner Hall 2925 Campus Green Drive
PO Box 0371
Cincinnati, OH 45221-0211
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
76
Abstract Views
873
rank
316,738
PlumX Metrics