Arbeitspapier

Measuring long-term inequality of opportunity

In this paper, we introduce and apply a general framework for evaluating long-term income distributions according to the Equality of Opportunity principle (EOp). Our framework allows for both an ex-ante and an ex-post approach to EOp. Our ex-post approach relies on a permanent income measure defined as the minimum annual expenditure an individual would need in order to be as well off as he could be by undertaking inter-period income transfers. There is long-term ex-post inequality of opportunity if individuals who exert the same effort have different permanent incomes. In comparison, the ex-ante approach focuses on the expected permanent income for individuals with identical circumstances. Hence, the ex-ante approach pays attention to inequalities in expected permanent income between different types of individuals. To demonstrate the empirical relevance of a long-run perspective on EOp, we exploit a unique panel data from Norway on individuals' incomes over their working lifespan.

Sprache
Englisch

Erschienen in
Series: Discussion Papers ; No. 620

Klassifikation
Wirtschaft
Social Choice; Clubs; Committees; Associations
Micro-Based Behavioral Economics: Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making‡
Measurement and Analysis of Poverty
Thema
equality of opportunity
social welfare
inequality
permanent income
intertemporal choice
ex-ante
ex-post

Ereignis
Geistige Schöpfung
(wer)
Aaberge, Rolf
Mogstad, Magne
Peragine, Vito
Ereignis
Veröffentlichung
(wer)
Statistics Norway, Research Department
(wo)
Oslo
(wann)
2010

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Aaberge, Rolf
  • Mogstad, Magne
  • Peragine, Vito
  • Statistics Norway, Research Department

Entstanden

  • 2010

Ähnliche Objekte (12)