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INCDIS: Income Distribution, Consumption and Income Mobility

Research under this theme will focus on the implications of patterns of economic change for the distribution of income, consumption and living standards, and how this works through dynamically for individuals and families over time. The first aim will be to strengthen links between research on inequality and the “macro”-economics of growth and employment. More specifically, the relationships between aggregate economic growth and the incomes of households will be examined, as well as factors which may be critical in mediating the impact of globalisation.

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Research under this theme will also investigate the impact of economic change and key channels of influence on different parts of the income distribution, since summary inequality measures may mask very different trends for the bottom, middle and top of the distribution. Comparative analysis of earnings mobility using data from the European Community Household Panel, and investigation of the linkages between pay dynamics and overall earnings dispersion, will be a priority. At household level, the persistence of low income over time, the determinants of poverty entries and exits, and the impact of female participation will be studied. Methodological development of approaches to modeling income and poverty dynamics will also be a priority.