Consumption and income inequality in Sweden: a different story

Sven-Olov Daunfeldt, Stefan Fölster and Per Hortlund
Additional contact information
Stefan Fölster: The Royal Institute of Technology and the Confederation of Swedish Enterprise, Postal: SE-114 82, Stockholm, Sweden
Per Hortlund: The Swedish Retail Institute (HUI), Postal: S-103 29 Stockholm, Sweden

No 39, HUI Working Papers from HUI Research

Abstract: This paper analyzes consumption- and income inequality trends in Sweden during the period 1988-2005. Similar studies for the US have found that consumption inequality has increased much less than income inequality in recent decades. Results in this paper indicate that consumption inequality actually decreased in Sweden in spite of considerable overall increase in income inequality. The apparent contradiction can mainly be explained by increased saving and life cycle redistribution among high-income households.

Keywords: Income distribution; earnings; consumption; equality (search for similar items in EconPapers)
JEL-codes: D12 D31 D63 (search for similar items in EconPapers)
Pages: 30 pages
Date: 2010-06-10
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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