Completing the Bathtub?: The Development of Top Incomes in Germany, 1907-2007

Christina Anselmann and Hagen Krämer

No 451, SOEPpapers on Multidisciplinary Panel Data Research from DIW Berlin, The German Socio-Economic Panel (SOEP)

Abstract: This paper examines the evolution of top incomes in Germany from 1907-2007 with a special focus on past decades. A more detailed analysis of German top incomes is conducted, beginning with a review of selected income distribution measures which indicate that high incomes have played a significant role for income divergence in recent years. Based on newdata it is shown that top income shares have indeed increased substantially in the recent past, a process which is mainly due to a relative rise in employment rather than capital income within the top income groups. Finally, some theories explaining high incomes of the "working rich" are discussed.

Keywords: Top income shares; income dispersion; executive compensation (search for similar items in EconPapers)
JEL-codes: D31 J30 (search for similar items in EconPapers)
Pages: 43 p.
Date: 2012
New Economics Papers: this item is included in nep-ltv
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:diw:diwsop:diw_sp451

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