Effects of Wife's Income on Family Income Inequality

1981 ◽  
Vol 10 (2) ◽  
pp. 211-232 ◽  
Author(s):  
Richard J. Harris ◽  
John J. Hedderson

In this article, a method is developed to evaluate the effects of wife's income on family income inequality, and those effects are examined between 1967 and 1976 employing data from the Panel Study of Income Dynamics. The coefficient of variation is employed as a measure of family income inequality. Results indicate that income inequality increased substantially between 1967 and 1976 for U.S. families, but this increase was not due to the effects of wife's income. There have been substantial differences in the effects of wife's income for black and white families. In general, a movement toward greater equality of earnings between husbands and wives would tend to promote less family income inequality.

1982 ◽  
Vol 3 (2) ◽  
pp. 181-198 ◽  
Author(s):  
NEIL O. ALPER ◽  
MARK J. MORLOCK

In households where the husband is the primary income earner, family income may be augmented either by the husband taking a second job (moonlighting) or by the wife obtaining a first job. In this article, binary logit estimating techniques are employed to investigate empirically the types of factors affecting this decision. The data used in the empirical analysis are Wave X (1977) of the University of Michigan's Panel Study of Income Dynamics. The authors find that the relative labor market opportunities of the husband and the wife, the value of the alternative uses of the wife's time, and the attitudes of both the husband and the wife toward the wife's market work all play a significant and predictable role as determinants of moonlighting. The policy implications of these findings are discussed.


2017 ◽  
Vol 4 (3) ◽  
pp. 353-370 ◽  
Author(s):  
Thomas B. Foster

This paper leverages four decades of longitudinal data from the Panel Study of Income Dynamics to document Black-White gaps in the translation of mobility expectations into actual mobility, track those racial gaps over time in the context of declining mobility among all Americans, and identify a substantial weakening in the ability of both Black and White householders to move when they expect to. Results show a substantial racial gap in the realization of mobility expectations with foundations in the relative inability of Black householders to leverage socioeconomic resources in segmented housing markets. There is no indication of significant improvement or growth in this gap over time. While householders’ expressed expectations are the best predictor of future mobility, this predictive relationship has weakened significantly since 1970, primarily because of a decline in mobility among expectant householders. Trends in the expectation of mobility offer support for the notion that declining mobility is indicative of voluntary “rootedness” among Whites but also suggest that a substantial share of Americans (and Blacks in particular) are increasingly likely to be “stuck” expecting to move but unable to do so.


Demography ◽  
2021 ◽  
Author(s):  
Linda Zhao ◽  
Philipp Hessel ◽  
Juli Simon Thomas ◽  
Jason Beckfield

Abstract This study contributes to the debate on whether income inequality is harmful for health by addressing several analytical weaknesses of previous studies. Using the Panel Study of Income Dynamics in combination with tract-level measures of income inequality in the United States, we estimate the effects of differential exposure to income inequality during three decades of the life course on mortality. Our study is among the first to consider the implications of income inequality within U.S. tracts for mortality using longitudinal and individual-level data. In addition, we improve upon prior work by accounting for the dynamic relationship between local areas and individuals' health, using marginal structural models to account for changes in exposure to local income inequality. In contrast to other studies that found no significant relation between income inequality and mortality, we find that recent exposure to higher local inequality predicts higher relative risk of mortality among individuals at ages 45 or older.


Demography ◽  
2021 ◽  
Author(s):  
Heather D. Hill

Abstract Recent decades have seen increases in the variability of family income, tepid income growth rates for all but the richest families, and widening income inequality. These trends are concerning for child well-being, given the importance of income to parental investments and parenting practices. Growing evidence suggests that a high level of change is disruptive to family processes and that chronic stress affects physiology as well as psychology. This study used the Panel Study of Income Dynamics Child Development Supplement to estimate associations between three dimensions of childhood income dynamics—level, variability, and trend—and child achievement and behavior. After income level was controlled for, income variability during childhood was not associated with child achievement or behavior, but an increasing five-year trend in income-to-needs was modestly beneficial to behavior measures. Subgroup analysis suggests some adverse effects of income variability and trend on reading and behavior for non-White children but no clear patterns by child's age or family income or wealth levels.


Demography ◽  
2021 ◽  
Author(s):  
Katherine Michelmore ◽  
Leonard M. Lopoo

Abstract Using data from the Panel Study of Income Dynamics, this study analyzes the effect of exposure to the Earned Income Tax Credit (EITC) in childhood on marriage and childbearing in early adulthood. Results suggest that EITC exposure in childhood leads women to delay marriage and first births in early adulthood (ages 16–25), but has no effect on men. A $1,000 increase in EITC exposure in childhood leads to a 2%–3% decline in a woman's likelihood of having a first birth and a comparable decline in her likelihood of marrying by her early 20s. We find similar reductions in fertility among Black and White women, though marriage declines are concentrated among White women. Results are focused on children growing up in the bottom half of the income distribution and those who spent the majority of childhood residing with a single parent—two groups that are the primary beneficiaries of the EITC. These findings have important implications for the well-being of individuals exposed to the EITC in childhood, as well as their future children.


1995 ◽  
Vol 76 (10) ◽  
pp. 604-615 ◽  
Author(s):  
Richard K. Caputo

The author presents results of research comparing various measures of black and white family income inequality and poverty for the periods 1969–1980 and 1981–1992. The study analyzed main effects for each decade as well as race and interaction effects on several family-income dispersion and poverty measures, including the Gini index and income–poverty ratio. The findings call into question the legitimacy of policies incorporated into the Omnibus Budget Reconciliation Act of 1981 and subsequent legislation through the Clinton administration. Economic and social welfare policy options are discussed in light of the findings.


2012 ◽  
Vol 26 (1) ◽  
pp. 68-80 ◽  
Author(s):  
W. Gibb Dyer ◽  
W. Justin Dyer ◽  
Richard G. Gardner

This study examines how firm performance and family income are affected when an “owner-managed” firm transitions to a “copreneurial” business. Data from the Panel Study of Income Dynamics were used to track changes in firm performance and family income from 1996 to 2006 during which time an owner-manager decided to partner with his spouse. The findings suggest that (a) involvement of one’s spouse in the business had no significant impact on firm profits and (b) working with one’s spouse had a significant impact on family income. The authors hypothesize that the lack of spousal influence on firm performance is because of their inability to influence their spouses, their lack of education and skills needed by the firm, and organizational “imprinting.” Moreover, since it is hypothesized that many spouses work for little or no pay, there would not be a significant impact on family income as the result of one’s partnering with a spouse. However, this hypothesis was not confirmed.


2017 ◽  
Author(s):  
Neil Fligstein ◽  
Orestes P Hastings ◽  
Adam Goldstein

Sociologists conceptualize lifestyles as structured hierarchically where people seek to emulate those higher up. Growing income inequality in the United States means those at the top bid up the price of valued goods like housing and those in lower groups have struggled to maintain their relative positions. We explore this process in the context of the U.S. housing market from 1999 to 2007 by analyzing over 4,000 residential moves from the Panel Study of Income Dynamics. Houses are the ultimate status symbol. Their size, quality, and location signal to others that one has (or has not) arrived. We show that in areas where income inequality was higher, all movers went deeper into debt and increased their monthly housing costs to live in more desirable neighborhoods. But because people at the top of the income distribution had so much more money, they were able to take on less debt to keep their position in the status queue. Everyone below them who made a move to buy a house took on more debt, particularly in areas with higher income inequality. This evidence suggests that growing inequality implies that those at the top buy the best homes while others struggle to keep pace amid rising housing costs.


2018 ◽  
Vol 17 (3) ◽  
pp. 590-614 ◽  
Author(s):  
Ying Huang ◽  
Scott J. South ◽  
Amy Spring ◽  
Kyle Crowder

Using data from the Panel Study of Income Dynamics and two U.S. decennial censuses, we describe trends in blacks’ and whites’ exposure to other–race neighbors between 2001 and 2011 and then identify the proximate sources of these trends. Our results show that whites experienced an increase in their exposure to black and other minority neighbors and a concurrent decrease in same–race neighbors. Blacks’ exposure to both black and white neighbors declined somewhat between 2001 and 2011, while their exposure to nonblack minority neighbors increased substantially. Decomposition analysis reveals that increases in whites’ exposure to black neighbors were driven primarily by in situ neighborhood change (i.e., by change surrounding nonmobile neighborhood residents), and only secondarily by shifting patterns of migration to neighborhoods containing more blacks and fewer whites. Changes in blacks’ exposure to white neighbors were shaped by two countervailing forces. While the neighborhoods inhabited by non–mobile blacks became relatively less black and more white, residentially mobile blacks were increasingly moving to neighborhoods that were more black and less white. Increases in blacks’ and whites’ neighborhood ethnoracial diversity were driven almost entirely by in situ changes around nonmobile blacks and whites.


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