NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

What has Been Happening to UK Income Inequality Since the Mid-1990s? Answers from Reconciled and Combined Household Survey and Tax Return Data

Richard V. Burkhauser, Nicolas Hérault, Stephen P. Jenkins, Roger Wilkins

NBER Working Paper No. 21991
Issued in February 2016
NBER Program(s):LS, PE, TWP

Estimates of UK income inequality trends differ substantially according to whether estimates are based on household survey data (used for official statistics) or tax return data (used in the top incomes literature). We reconcile differences in variable definitions and combine survey and tax return data in order to take advantage of the much better coverage of top incomes in the latter, and provide improved estimates of UK inequality trends since the mid-1990s. We show there was a marked increase in income inequality in the early 2000s that survey-based estimates do not reveal, and our conclusions are robust to changes in the definitions of income, income-sharing unit, and summary inequality measure. In addition, our reconciled and combined data provide more comparable estimates of UK-US inequality trends than the top incomes literature to date.

You may purchase this paper on-line in .pdf format from SSRN.com ($5) for electronic delivery.

Access to NBER Papers

You are eligible for a free download if you are a subscriber, a corporate associate of the NBER, a journalist, an employee of the U.S. federal government with a ".GOV" domain name, or a resident of nearly any developing country or transition economy.

If you usually get free papers at work/university but do not at home, you can either connect to your work VPN or proxy (if any) or elect to have a link to the paper emailed to your work email address below. The email address must be connected to a subscribing college, university, or other subscribing institution. Gmail and other free email addresses will not have access.

E-mail:

Machine-readable bibliographic record - MARC, RIS, BibTeX

Document Object Identifier (DOI): 10.3386/w21991

Users who downloaded this paper also downloaded* these:
Syverson w21974 Challenges to Mismeasurement Explanations for the U.S. Productivity Slowdown
Campbell w22025 Restoring Rational Choice: The Challenge of Consumer Financial Regulation
Chauvin, Glaeser, Ma, and Tobio w22002 What is Different About Urbanization in Rich and Poor Countries? Cities in Brazil, China, India and the United States
Costinot, Rodríguez-Clare, and Werning w21989 Micro to Macro: Optimal Trade Policy with Firm Heterogeneity
Shigeoka and Yamada w21998 Income-comparison Attitudes in the US and the UK: Evidence from Discrete-choice Experiments
 
Publications
Activities
Meetings
NBER Videos
Themes
Data
People
About

National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us