Working papers, Department of Economics, WU (Wirtschaftsuniversität Wien)
The Geography of Average Income and Inequality: Spatial Evidence from Austria
() and Matthias Schnetzer
Abstract: This paper investigates the nexus between regional income
levels and inequality. We present a novel small-scale inequality database
for Austrian municipalities to address this question. Our dataset combines
individual tax data of Austrian wage tax payer on regionally disaggregated
scale with census and geographical information. This setting allows us to
investigate regional spillover effects of average income and various
measures of income inequality. Using this data set we find distinct
regional clusters of both high average wages and high earnings inequality
in Austria. Furthermore we use spatial econometric regressions to quantify
the effects between income levels and a number of inequality measures such
as the Gini and 90/10 quantile ratios.
Keywords: Regional inequality, spatial dependence, spatial autoregressive model; (follow links to similar papers)
JEL-Codes: C21,; D31,; J31; (follow links to similar papers)
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