Rank-correlations are not robust to differences in group inequality
Bibliographic Data
| ID | 12836640 |
|---|---|
| Authors | Mikkel Gandil (0000-0001-6648-3066, University of Oslo, corresponding author) |
| Year | 2023 |
| Publication date | 2023-02-28 |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | The Journal of Economic Inequality (JOURNAL) |
| Journal identifiers | ISSN: 1569-1721 • E-ISSN: 1573-8701 |
| Publisher | Springer Science+Business Media (PUBLISHER • DE) |
| DOI | 10.1007/s10888-022-09550-w |
| OpenAlex | W4322624816 |
| Language | EN |
| References cited | 25 |
Rank-based measures of intergenerational mobility are generally justified by their invariance to changes in inequality. However, I show that whenever the source of inequality is uncorrelated to parent ranks, such as in the cases of gender and birth order, increasing equality leads to a fall in rank mobility as measured by the rank correlation. I develop a method to ex-post quantify the importance of inequality for mobility measurement using cross-sectional income distributions and show that US income mobility could have fallen by as much as 24 percent since 1970 due to increased gender equality. Without specifying a policy objective of interest, it is therefore unclear which conclusions to draw from differences in rank-correlations across societies or from changes over time
Combinatorics · Demographic economics · Econometrics · Economic inequality · Economics · Inequality · Rank (graph theory · Rank correlation · Social mobility · Sociology · Statistics · Uncorrelated · Income, Poverty, and Inequality · Intergenerational and Educational Inequality Studies · Mathematics · Social and Cultural Dynamics
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| Highly cited | No |
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