Jump to ContentJump to Main Navigation
Show Summary Details
More options …

The B.E. Journal of Economic Analysis & Policy

Editor-in-Chief: Jürges, Hendrik / Ludwig, Sandra

Ed. by Auriol , Emmanuelle / Brunner, Johann / Fleck, Robert / Mendola, Mariapia / Requate, Till / Schirle, Tammy / de Vries, Frans / Zulehner, Christine

4 Issues per year


IMPACT FACTOR 2016: 0.252
5-year IMPACT FACTOR: 0.755

CiteScore 2016: 0.48

SCImago Journal Rank (SJR) 2016: 0.330
Source Normalized Impact per Paper (SNIP) 2016: 0.526

Online
ISSN
1935-1682
See all formats and pricing
More options …
Volume 12, Issue 2 (Dec 2012)

Issues

Volume 6 (2006)

Volume 4 (2004)

Volume 2 (2002)

Volume 1 (2001)

The Evolution of Household Income Volatility

Karen Dynan / Douglas Elmendorf / Daniel Sichel
Published Online: 2012-12-18 | DOI: https://doi.org/10.1515/1935-1682.3347

Abstract

Using a representative longitudinal survey of U.S. households, we find that household income became noticeably more volatile between the early 1970s and the late 2000s despite the moderation seen in aggregate economic activity during this period. We estimate that the standard deviation of percent changes in household income rose about 30 percent between 1971 and 2008. This widening in the distribution of percent changes was concentrated in the tails. The share of households experiencing a 50 percent plunge in income over a two-year period climbed from about 7 percent in the early 1970s to more than 12 percent in the early 2000s before retreating to 10 percent in the run-up to the Great Recession. Households’ labor earnings and transfer payments have both become more volatile over time. As best we can tell, the rise in the volatility of men’s earnings appears to owe both to greater volatility in earnings per hour and in hours worked.

Keywords: household income volatility; earnings volatility; income distribution; PSID; great moderation

About the article

Published Online: 2012-12-18


Citation Information: The B.E. Journal of Economic Analysis & Policy, ISSN (Online) 1935-1682, DOI: https://doi.org/10.1515/1935-1682.3347.

Export Citation

©2012 Walter de Gruyter GmbH & Co. KG, Berlin/Boston. Copyright Clearance Center

Citing Articles

Here you can find all Crossref-listed publications in which this article is cited. If you would like to receive automatic email messages as soon as this article is cited in other publications, simply activate the “Citation Alert” on the top of this page.

[1]
International Journal of Environmental Research and Public Health, 2017, Volume 14, Number 9, Page 1076
[3]
Daniel V. Gordon and Jean-François Wen
International Tax and Public Finance, 2017
[4]
Pilar Gonalons-Pons and Christine R. Schwartz
Demography, 2017, Volume 54, Number 3, Page 985
[5]
Keshav Dogra and Olga Gorbachev
The Economic Journal, 2016, Volume 126, Number 597, Page 2012
[6]
Manasi Deshpande
American Economic Review, 2016, Volume 106, Number 11, Page 3300
[7]
Kyong Hyun Koo
Industrial Relations: A Journal of Economy and Society, 2016, Volume 55, Number 4, Page 705
[8]
Karen Dynan
Business Economics, 2016, Volume 51, Number 2, Page 83
[10]
Marco Leonardi
Economic Inquiry, 2017, Volume 55, Number 1, Page 260
[11]
Lorenzo Cappellari and Marco Leonardi
The Scandinavian Journal of Economics, 2016, Volume 118, Number 2, Page 202
[12]
Bruce Western, Deirdre Bloome, Benjamin Sosnaud, and Laura M. Tach
Demography, 2016, Volume 53, Number 2, Page 419
[13]
Andre R. Neveu
Atlantic Economic Journal, 2015, Volume 43, Number 2, Page 229
[14]
Lisa A. Gennetian, Sharon Wolf, Heather D. Hill, and Pamela A. Morris
Demography, 2015, Volume 52, Number 2, Page 455
[15]
Lara D. Shore-Sheppard
Health Services Research, 2014, Volume 49, Number S2, Page 2041
[16]
Bradley L. Hardy
Demography, 2014, Volume 51, Number 5, Page 1641
[17]
IGOR MAKAROV and GUILLAUME PLANTIN
The Journal of Finance, 2013, Volume 68, Number 3, Page 849

Comments (0)

Please log in or register to comment.
Log in