Does income distribution among immigrants adapt to host country?

2021 ◽  
Author(s):  
Asena Caner ◽  
Peder J. Pedersen
Keyword(s):  
Income Inequality ◽  
Income Distribution ◽  
Host Country ◽  
Great Recession ◽  
Natural Experiment ◽  
The Great Recession ◽  
Special Groups ◽  
Structural Differences ◽  
Over Time

We investigate trends in income inequality for five special groups (immigrants from Turkey in Denmark and Germany, natives in the two countries and in Turkey). The migration of people with similar characteristics and motivations to countries with structural differences is similar to a natural experiment. We ask whether immigrant inequality adapts over time to inequality among natives. We find, first, that immigrants are concentrated in the lower deciles of the overall income distribution. Secondly, considering native and immigrant distributions separately, in every decile an average native is significantly richer than an average immigrant. Thirdly, inequality decompositions show that during the great recession, in Denmark inequality grew faster among immigrants than among natives. In Germany, inequality rose somewhat among natives, while it remained the same among immigrants. Therefore, we do not observe a convergence in inequality. In both countries, in 2007-2013, rising inequality among natives is the most important factor behind the rise in overall inequality. For the longer period from the 1980s to 2013 we find no convergence in inequality. Finally, compared to Turks in Turkey, immigrants in both countries have higher incomes, distributed much more equally.  

scholarly journals Cost of Living Inequality During the Great Recession

2020 ◽  
Author(s):  
David Argente ◽  
Munseob Lee
Keyword(s):  
Income Inequality ◽  
Income Distribution ◽  
Great Recession ◽  
Shopping Behavior ◽  
Cost Of Living ◽  
The Great Recession ◽  
Income Groups ◽  
Percentage Points ◽  
Price Indexes ◽  
The Difference

Abstract We construct income-specific price indexes for the period from 2004 to 2016. We find substantial differences across income groups that arise during the Great Recession. The difference in annual inflation between the lowest quartile of the income distribution and the highest quartile was 0.22 percentage points for 2004–2007, 0.85 percentage points for 2008–2013, and 0.02 percentage points for 2014–2016. We find that product quality substitution and changes in the shopping behavior, margins mostly available to richer households, explain around 40% of the gap. Our evidence shows that not accounting for these differences in price indexes could lead to significant biases in the calculation of consumption and income inequality.

Surviving the Great Recession: the influence of income inequality in US urban counties

2017 ◽  
Vol 52 (6) ◽  
pp. 781-792 ◽  
Author(s):  
Paul A. Lewin ◽  
Philip Watson ◽  
Anna Brown
Keyword(s):  
Income Inequality ◽  
Great Recession ◽  
The Great Recession

scholarly journals The Evolution of Household Income Volatility

2012 ◽  
Vol 12 (2) ◽  
Author(s):  
Karen Dynan ◽  
Douglas Elmendorf ◽  
Daniel Sichel
Keyword(s):  
Great Recession ◽  
Economic Activity ◽  
Household Income ◽  
Longitudinal Survey ◽  
Income Volatility ◽  
Transfer Payments ◽  
The Great Recession ◽  
Labor Earnings ◽  
Run Up ◽  
Over Time

Abstract Using a representative longitudinal survey of U.S. households, we find that household income became noticeably more volatile between the early 1970s and the late 2000s despite the moderation seen in aggregate economic activity during this period. We estimate that the standard deviation of percent changes in household income rose about 30 percent between 1971 and 2008. This widening in the distribution of percent changes was concentrated in the tails. The share of households experiencing a 50 percent plunge in income over a two-year period climbed from about 7 percent in the early 1970s to more than 12 percent in the early 2000s before retreating to 10 percent in the run-up to the Great Recession. Households’ labor earnings and transfer payments have both become more volatile over time. As best we can tell, the rise in the volatility of men’s earnings appears to owe both to greater volatility in earnings per hour and in hours worked.

Measuring the Trends in Inequality of Individuals and Families: Income and Consumption

2013 ◽  
Vol 103 (3) ◽  
pp. 184-188 ◽  
Author(s):  
Jonathan D Fisher ◽  
David S Johnson ◽  
Timothy M Smeeding
Keyword(s):  
United States ◽  
Income Inequality ◽  
Great Recession ◽  
The United States ◽  
Disposable Income ◽  
Consumer Expenditure ◽  
Present Evidence ◽  
The Great Recession

We present evidence on the level of and trend in inequality from 1985-2010 in the United States, using disposable income and consumption for a sample of individuals from the Consumer Expenditure (CE) Survey. Differing from the findings in other recent research, we find that the trends in income and consumption inequality are broadly similar between 1985 and 2006, but diverge during the Great Recession with consumption inequality decreasing and income inequality increasing. Given the differences in the trends in inequality in the last four years, using both income and consumption provides useful information.

scholarly journals Income-related inequalities in unmet dental care needs in Spain: traces left by the Great Recession

2020 ◽  
Vol 19 (1) ◽  
Author(s):  
Rosa M. Urbanos-Garrido
Keyword(s):  
Low Income ◽  
Dental Care ◽  
Great Recession ◽  
Unmet Need ◽  
Vulnerable Groups ◽  
Care Needs ◽  
Decomposition Approach ◽  
The Great Recession ◽  
Dental Care Needs ◽  
Over Time

Abstract Background Dental health is an important component of general health. Socioeconomic inequalities in unmet dental care needs have been identified in the literature, but some knowledge gaps persist. This paper tries to identify the determinants of income-related inequality in unmet need for dental care and the reasons for its recent evolution in Spain, and it inquires about the traces left by the Great Recession. Methods Data from the EU-SILC forming a decade (2007–2017) were used. Income-related inequalities for three years were measured by calculating corrected concentration indices (CCI), which were further decomposed in order to compute the contribution of different factors to inequality. An Oaxaca-type decomposition approach was also used to analyze the origin of changes over time. Men and women were analyzed separately. Results Pro-rich inequality in unmet dental care needs significantly increased over time (CCI 2007: − 0.0272 and − 0.0334 for males and females, respectively; CCI 2017: − 0.0704 and − 0.0776; p < 0.001). Inequality showed a clear “pro-cycle” pattern, growing during the Great Recession and starting to decrease just after the economic recovery began. Gender differences only were significant for 2009 (p = 0.004) and 2014 (p = 0.063). Income was the main determinant of inequality and of its variation along time -particularly for women-, followed by far by unemployment –particularly for men-; the contributions of both were mainly due to changes in elasticites. Conclusions The Great Recession left its trace in form of a higher inequality in the access to dental care. Also, unmet need for dental care, as well as its inequality, became more sensitive to the ability to pay and to unemployment along recent years. To broaden public coverage of dental care for vulnerable groups, such as low-income/unemployed people with high oral health needs, would help to prevent further growth of inequality.

scholarly journals Inequality, Leverage, and Crises

2015 ◽  
Vol 105 (3) ◽  
pp. 1217-1245 ◽  
Author(s):  
Michael Kumhof ◽  
Romain Rancière ◽  
Pablo Winant
Keyword(s):  
Theoretical Model ◽  
Income Distribution ◽  
Great Recession ◽  
High Income ◽  
Middle Income ◽  
Income Share ◽  
The Great Recession ◽  
Income Ratio ◽  
Low And Middle Income

The paper studies how high household leverage and crises can be caused by changes in the income distribution. Empirically, the periods 1920–1929 and 1983–2008 both exhibited a large increase in the income share of high-income households, a large increase in debt leverage of low- and middle-income households, and an eventual financial and real crisis. The paper presents a theoretical model where higher leverage and crises are the endogenous result of a growing income share of high-income households. The model matches the profiles of the income distribution, the debt-to-income ratio and crisis risk for the three decades preceding the Great Recession. (JEL D14, D31, D33, E32, E44, G01, N22)

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