Advertisement

The Macro Model of the Inequality Process and The Surging Relative Frequency of Large Wage Incomes

  • John Angle
Part of the New Economic Windows book series (NEW)

Abstract

Revision and extension of a paper, ‘U.S. wage income since 1961: the perceived inequality trend’, presented to the annual meetings of the Population Association of America, March–April 2005, Philadelphia, Pennsylvania, USA. On-line at: http://paa2005.princeton.edu/download.aspx?submission ID=50379.

Keywords

Relative Frequency Current Population Survey Micro Model Wage Income Left Tail 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  1. 1.
    Angle J (1983) The surplus theory of social strati.cation and the size distribution of Personal Wealth. Proc. Am. Stat. Assoc., Social Statistics Section. Pp. 395–400. Alexandria, VA: Am. Stat. Assoc.Google Scholar
  2. 2.
    Angle J (1986) The surplus theory of social strati.cation and the size distribution of Personal Wealth. Social Forces 65:293–326.CrossRefGoogle Scholar
  3. 3.
    Angle J (1993) Deriving the size distribution of personal wealth from ‘the rich get richer, the poor get poorer’. J. Math. Sociology 18:27–46.MATHADSCrossRefGoogle Scholar
  4. 4.
    Angle J (1994) Frequency spikes in income distributions. Proc. Am. Stat. Assoc., Business and Economic Statistics Section, pp. 265–270.Google Scholar
  5. 5.
    Angle J (1996) How the gamma law of income distribution appears invariant under aggregation. J. Math. Sociology. 21:325–358.MATHCrossRefGoogle Scholar
  6. 6.
    Angle J (2002) The statistical signature of pervasive competition on wages and salaries. J. Math. Sociology. 26:217–270.MATHCrossRefGoogle Scholar
  7. 7.
    Angle J (2002) Modeling the dynamics of the nonmetro distribution of wage and salary income as a function of its mean. Proc. Am. Stat. Assoc., Business and Economic Statistics Section. [CD-ROM], Alexandria, VA: Am. Stat. Assoc.Google Scholar
  8. 8.
    Angle J (2003) The dynamics of the distribution of wage and salary income in the nonmetropolitan U.S.. Estadistica 55:59–93.MathSciNetGoogle Scholar
  9. 9.
    Angle J (2005) U.S. wage income since 1961: the perceived inequality trend. Paper presented to the Population Assoc. of America meetings, March–April 2005, Philadelphia, Pennsylvania, USA. http://paa2005.princeton.edu/download.aspx?submissionID=50379.
  10. 10.
    Angle J (2006) (received 8/05; electronic publication: 12/05; hardcopy publication 7/06). The Inequality Process as a wealth maximizing algorithm. Physica A 367:388–414.CrossRefADSGoogle Scholar
  11. 11.
    Beach C, Slotsve G (1996) Are we becoming two societies? Income Polarization and the Myth of the Declining Middle Class in Canada. Ottawa, Ontario: C.D. Howe Institute.Google Scholar
  12. 12.
    Beach C, Chaykowski R, Slotsve G (1997). Inequality and polarization of male earnings in the United States, 1968–1990. North Am. J. Econ. Fin. 8(2):135–152.CrossRefGoogle Scholar
  13. 13.
    Blackburn M, Bloom D (1985) What is happening to the middle class?. Am. Demographics 7(1):18–25.Google Scholar
  14. 14.
    Blackburn M, Bloom D (1987) Earnings and income inequality in the United States. Population and Development Review 13:575–609.CrossRefGoogle Scholar
  15. 15.
    Bradbury K (1986) The Shrinking Middle Class. New England Economic Review, September/October, pp. 41–54.Google Scholar
  16. 16.
    Burkhauser R, Crews Cutts A, Daly M, Jenkins S (1999) Testing the significance of income distribution changes over the 1980’s business cycle: a cross-national comparison. J. Appl. Econometrics 14(3):253–272.CrossRefGoogle Scholar
  17. 17.
    Chakraborti A, Chakrabarti BK (2000) Statistical mechanics of money: how saving propensity affects its distribution. Eur. Phys. J. B 17: 167–170.CrossRefADSGoogle Scholar
  18. 18.
    Chatterjee A, Chakrabarti BK, Manna SS (2003) Money in gas-like markets: Gibbs and Pareto Laws. Phys. Scripta T 106: 36–39.CrossRefADSGoogle Scholar
  19. 19.
    Chatterjee A, Chakrabarti BK, Manna SS (2004) Pareto Law in a kinetic model of market with random saving propensity Physica A 335: 155–163.CrossRefADSMathSciNetGoogle Scholar
  20. 20.
    Chatterjee A, Chakrabarti BK, Stinchcombe RB (2005) Master equation for a kinetic model of trading market and its analytic solution Phys. Rev. E 72: 026126.CrossRefADSGoogle Scholar
  21. 21.
    Chatterjee A, Chakrabarti BK, Stinchcombe RB (2005) Analyzing money distributions in ‘ideal gas’ models of markets. Practical Fruits of Econophysics, Ed. Takayasu H, pp 333–338, Springer-Verlag, Tokyo.Google Scholar
  22. 22.
    Coder J, Rainwater L, Smeeding T (1989) Inequality among children and elderly in ten modern nations: the United States in an international context. Am. Econ. Review 79(2): 320–324.Google Scholar
  23. 23.
    Current Population Surveys, March 1962–2004. [machine readable data files]/conducted by the Bureau of the Census for the Bureau of Labor Statistics. Washington, DC: U.S. Bureau of the Census [producer and distributor], 1962–2004. Santa Monica, CA: Unicon Research Corporation [producer and distributor of CPS Utilities], 2004.Google Scholar
  24. 24.
    Duclos J, Esteban J, Ray D (2004) Polarization: concepts, measurement, estimation. Econometrica 72(6):1737–1772.MATHCrossRefMathSciNetGoogle Scholar
  25. 25.
    Duncan G, Smeeding T, Rodgers W (1993) Why is the middle class shrinking?. In Papadimitriou D. (ed.), Poverty and Prosperity in the U.S. in the Late Twentieth Century. New York, Macmillan.Google Scholar
  26. 26.
    Esteban J, Ray D (1994) On the measurement of polarization. Econometrica 62(4): 819–851.MATHCrossRefGoogle Scholar
  27. 27.
    Esteban J, Ray D (1999) Conflict and distribution. J. Econ. Theory 87: 379–415.MATHCrossRefMathSciNetGoogle Scholar
  28. 28.
    Horrigan M, Haugen S (1988) The declining middle class thesis: a sensitivity analysis. Monthly Labor Review 111(May, 1988): 3–13.Google Scholar
  29. 29.
    Jenkins S (1995) Did the middle class shrink during the 1980’s: UK evidence from kernel density estimates. Econ. Letters 49(October, #4): 407–413.MATHCrossRefGoogle Scholar
  30. 30.
    Kuttner R (1983) The Declining Middle. Atlantic Monthly July:60–72.Google Scholar
  31. 31.
    Lawrence R (1984) Sectoral Shifts in the Size of the Middle Class. Brookings Review 3: 3–11.CrossRefGoogle Scholar
  32. 32.
    Levy F, Michel R (1991) The Economic Future of American Families: Income and Wealth Trends. Washington, DC: Urban Institute Press.Google Scholar
  33. 33.
    Levy F, Murnane R (1992) U.S. Earnings Levels and Earnings Inequality: A Review of Recent Trends and Proposed Explanations. Journal of Economic Literature 30(3): 1333–1381.Google Scholar
  34. 34.
    Morris M, Bernhardt A, Handcock M (1994) Economic inequality: new methods for new trends. Am. Soc. Review 59: 205–219.CrossRefGoogle Scholar
  35. 35.
    Roemer M (2000) Assessing the Quality of the March Current Population Survey and the Survey of Income and Program Participation Income Estimates, 1990–1996. Washington, DC: U.S. Census Bureau. [http://www.census.gov/hhes/www/income/assess1.pdf], accessed 11/9/04.Google Scholar
  36. 36.
    Patriarca M, Chakraborti A, Kaski K (2004) Statistical model with a standard Γ distribution. Phys. Rev. E 70: 016104.CrossRefADSGoogle Scholar
  37. 37.
    Patriarca M, Chakraborti A, Kaski K, Germano G (2005) Kinetic theory models for the distirbution of wealth. arXiv:physics/0504153.Google Scholar
  38. 38.
    Thurow L (1984) The disappearance of the middle class. New York Times Vol.133(February 5):F3.Google Scholar
  39. 39.
    Unicon Research, inc. 2004. Manual for March Current Population Surveys. Santa Monica, CA: Unicon.Google Scholar
  40. 40.
    U.S. Bureau of Economic Analysis. 2005. National Income and Product Account Table 2.4.4, Price indexes for personal conumption expenditure by type of product [index numbers, 2000 = 100]. http://www.bea.gov/bea/dn/ nipaweb/TableView.asp#Mid [Last revised on August 4, 2005].
  41. 41.
    Weinberg D, Nelson C, Roemer M, Welniak E (1999) Fifty years of U.S. income data from the Current Population Survey. Am. Econ. Review 89(#2) (Papers and Proceedings of the 111th Annual Meeting of the Am. Econ. Assoc.), 18–22.CrossRefGoogle Scholar
  42. 42.
    Wolfson M (1994) When inequalities diverge. Am. Econ. Review 84(#2):353–358.Google Scholar

Copyright information

© Springer-Verlag Italia 2007

Authors and Affiliations

  • John Angle
    • 1
  1. 1.Inequality Process InstituteCabin JohnUSA

Personalised recommendations