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German male income volatility 1984 to 2008
Bartels, Charlotte ;  Bönke, Timm ;  Universität <Berlin, Freie Universität> / Fachbereich Wirtschaftswissenschaft

Main titleGerman male income volatility 1984 to 2008
Subtitletrends in permanent and transitory income components and the role of the welfare state
AuthorBartels, Charlotte
AuthorBönke, Timm
InstitutionUniversität <Berlin, Freie Universität> / Fachbereich Wirtschaftswissenschaft
No. of Pages25 S.
Series Discussion paper / School of Business & Economics ; 2010/18 : Economics
KeywordsEarnings Inequality; Permanent Income Inequality; Transitory Income Volatility; Earnings Dynamics; Safety Net; Transfer Payments
Classification (DDC)330 Economics
AbstractDeploying data from the German Socio-Economic Panel (GSOEP) we analyze the variability of individual earnings and equivalent household income. Permanent and transitory variances of male income over the period 1984-2008 are estimated for Old German Laender in order to determine their importance to income dynamics. To uncover the role of the welfare state in smoothening earnings shocks we compute different income concepts reaching from gross earnings to net equivalent household income. We find evidence that the overall inequality of earnings in Germany has been rising throughout the period due to both higher permanent inequality and higher volatility. However, taking the welfare state and its institutions into account, we find that net household income has remained fairly stable.
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FU DepartmentDepartment Business and Economics
Year of publication2010
Type of documentBook
LanguageEnglish
Terms of use/Rights Nutzungsbedingungen
Created at2010-09-15 : 03:06:19
Last changed2014-01-23 : 04:20:14
 
Static URLhttp://edocs.fu-berlin.de/docs/receive/FUDOCS_document_000000006629
ISBN978-3-941240-30-8
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