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An International Comparison of Equalization Mobility and Lifetime Earnings Inequality: How Continental Europe Resembles North America

 

Notice

Type:   Working paper
 
Titre:   An International Comparison of Equalization Mobility and Lifetime Earnings Inequality: How Continental Europe Resembles North America
 
Auteur(s):   Bowlus, Audra J. - University of Western Ontario (Auteur)
Robin, Jean-Marc (1961-...) - Département d'économie (Auteur)
 
Date de publication:   2010-09-21
 
Résumé:   [en] We compare earnings inequality and mobility across the U.S., Canada, France, Germany and the U.K. during the late 1990s. A flexible model of earnings dynamics that isolates positional mobility within a stable earnings distribution is estimated. Earnings trajectories are then simulated, and lifetime annuity value distributions are constructed. Earnings mobility and employment risk are found to be positively correlated with base-year inequality. Taken together they produce more equalization in countries with high cross-section inequality such that the countries in our sample have more similar lifetime inequality levels than crosssectionmeasures suggest.
 
 

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