Income inequality: additional data

Lane Kenworthy, The Good Society
January 2015

INCOME INEQUALITY BETWEEN THE 1% AND THE 99%

Data on the top 1%’s share of income are available for nineteen rich democracies. They are compiled by the World Top Income Database, using tax records. These data are for pretax income excluding capital gains.

appendix-top-1-pct-share-21-countries-1950-2011-country1to8

appendix-top-1-pct-share-21-countries-1950-2011-country9to16

Figure A1. Top 1%’s share of income
Pretax income. Excludes capital gains. Data source: World Top Incomes Database.

INCOME INEQUALITY WITHIN THE BOTTOM 99%

The following charts show the Gini coefficient for household income in the lower 99%. The Gini can range from zero to 100, with larger numbers indicating greater inequality. The incomes include government transfers and subtract taxes. The data are from three sources: the Luxembourg Income Study (LIS), the OECD, and Frederick Solt’s Standardized World Income Inequality Database.

appendix-gini-bottom99-21-countries-1979-2010-country1to8

appendix-gini-bottom99-21-countries-1979-2010-country9to16

Figure A2. Income inequality within the bottom 99%
Gini coefficient. Posttransfer-posttax income, adjusted for household size. Thick solid lines: Luxembourg Income Study data. Thin solid lines: OECD data. Thick dashed lines: Standardized World Income Inequality Database data.

INCOME INEQUALITY IN THE LOWER HALF

The following charts show the ratio of household income at the 50th percentile (median) to income at the 10th percentile. This is a useful indicator of inequality within the lower half of the income ladder. The incomes include government transfers and subtract taxes. For most countries we have two data sources: the Luxembourg Income Study (LIS) and the OECD.

appendix-p50p10-ratio-21-countries-1979-2012-country1to8

appendix-p50p10-ratio-21-countries-1979-2012-country9to16

Figure A3. Income inequality in the lower half
Ratio of income at the 50th percentile to income at the 10th percentile. Posttransfer-posttax income, adjusted for household size. Thick lines: Luxembourg Income Study data. Thin lines: OECD data.