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Unemployment, Retirement, Female Labor Market Participation and Income Inequality: A Decomposition Analysis for Germany
Journal of Contextual Economics – Schmollers Jahrbuch, Vol. 121 (2001), Iss. 1 : pp. 59–82
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Biewen, Martin
Cited By
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The Covariance Structure of East and West German Incomes and its Implications for the Persistence of Poverty and Inequality
Biewen, Martin
German Economic Review, Vol. 6 (2005), Iss. 4 P.445
https://doi.org/10.1111/j.1468-0475.2005.00141.x [Citations: 23]
Abstract
This paper employs univariate and multivariate inequality decompositions by subgroup in order to investigate how changes in unemployment, retirement and female labor market participation are related to changes of income inequality in Germany. The results suggest that a considerable share of the inequality increase in East Germany between 1990 to 1995 can be explained by compositional effects of these variables. The corresponding analysis for West Germany shows that the less pronounced changes in these variables played only a minor role for the increase in inequality in West Germany from 1985 to 1995. The paper also provides some stylized facts about the incidence of unemployment, retirement and female labor supply for both parts of the country.