Income mobility and economic inequality from a regional perspective

• Juan Prieto Rodríguez ^[1] ; Juan Gabriel Rodríguez Hernández ^[2] ; Rafael Salas del Mármol ^[3]
  1. [1] Universidad de Oviedo

     Universidad de Oviedo

     Oviedo, España

     
  2. [2] Universidad Rey Juan Carlos

     Universidad Rey Juan Carlos

     Madrid, España

     
  3. [3] Universidad Complutense de Madrid

     Universidad Complutense de Madrid

     Madrid, España

     

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• Localización: Papeles de trabajo del Instituto de Estudios Fiscales. Serie economía, ISSN 1578-0252, Nº 16, 2008, págs. 3-18
• Idioma: inglés
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• Resumen

  • Political redistributive models state that the higher the social mobility, the lower the demand for redistribution and, therefore, the higher the ex-post inequality. The objective of this study is to establish empirically if there is a significant positive relationship between social mobility and income inequality at regional level. The indices are calculated for the set of EU regions, using the European Community Household Panel survey. Additionally, total mobility is decomposed into three terms: growth, dispersion and exchange. By estimating a random coefficients model, it is shown that a positive relationship at the regional level exists.