Policy implications of new data on income mobility

Publication type

Journal Article

Authors

Publication date

June 1, 1999

Abstract:

The existence of income mobility may moderate concerns about growing inequalities, especially if income mobility has increased. However, the evidence for rising mobility is equivocal, and its extent is not enough to offset the growth of cross-sectional inequality. There is a case for greater concern for, and different policies towards, those persistently or recurrently poor than those only temporarily poor, but the data analysed here suggest that the bulk of low income observations come from the first two categories. Analysis of income mobility may help understand why people's incomes follow different trajectories and how policy might affect this.

Published in

Economic Journal

Volume

Volume: 109 (453):F91-F111

Subjects

Notes

Albert Sloman Library Periodicals *restricted to Univ. Essex registered users*

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