On the Allocation of Productivity Growth and the Determinants of U. S. Income Inequality

Shasha Liu (), Robin Sickles and Shiyi Zhang ()
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Shasha Liu: Rice University
Shiyi Zhang: Rice University

A chapter in Productivity and Inequality, 2018, pp 71-101 from Springer

Abstract: Abstract We estimate the determinants of income inequality focusing on the U.S. over 1985—2013. We decompose widely used inequality indices by subgroups, income sources, and factor components based on regression approaches to discover the significant sources of widening inequality in the United States. Our results indicate that education, marriage, gender, race, asset income, as well as employment in manufacturing and financial industries all expand the gap across different income classes.

Keywords: Decomposition methods; Income inequality; Entropy indices; Demographics (search for similar items in EconPapers)
JEL-codes: D31 J10 J31 (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:spr:prbchp:978-3-319-68678-3_3

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DOI: 10.1007/978-3-319-68678-3_3

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