Cookies?
Library Header Image
LSE Research Online LSE Library Services

Top incomes and inequality in the UK: reconciling estimates from household survey and tax return data.

Burkhauser, Richard V. and Hérault, Nicolas and Jenkins, Stephen P. and Wilkins, Roger (2017) Top incomes and inequality in the UK: reconciling estimates from household survey and tax return data. Oxford Economic Papers. ISSN 0030-7653 (In Press)

[img] Text - Accepted Version
Restricted to Repository staff only

Download (206kB) | Request a copy

Abstract

We provide the first systematic comparison of UK inequality estimates derived from tax data (World Wealth and Income Database) and household survey data (the Households Below Average Income (HBAI) subfile of the Family Resources Survey). We document by how much existing survey data underestimate top income shares relative to tax data. Exploiting the flexibility access to unit-record survey data provide, we then derive new top-incomeadjusted data. These data enable us to: better track tax-data-estimated top income shares; change the definitions of income, income-sharing unit, and unit of analysis used and thereby undertake more comparable cross-national comparisons (we provide a UK-US illustration); and examine UK inequality levels and trends using four summary indices. Our estimates reveal a greater rise in the inequality of equivalized gross household income among all persons between the mid-1990s and late-2000s than shown by the corresponding HBAI series, especially between 2004/05 and 2007/08.

Item Type: Article
Official URL: https://academic.oup.com
Additional Information: © 2017 The Authors
Subjects: H Social Sciences > HN Social history and conditions. Social problems. Social reform
Sets: Departments > Social Policy
Date Deposited: 09 Aug 2017 11:33
Last Modified: 11 Aug 2017 09:25
Projects: ES/L009153/1
Funders: Economic and Social Research Council
URI: http://eprints.lse.ac.uk/id/eprint/83723

Actions (login required)

View Item View Item

Downloads

Downloads per month over past year

View more statistics