[Title Page]
Contents
I. Introduction 9
II. Analysis of the Trend in Income Concentration 12
1. Research background 12
2. Literature review 15
3. Methodology 18
A. Data 18
B. Methodology of analysis 24
4. Findings of analysis 28
5. Conclusion 36
III. Analysis of Income Mobility and Decisive Factors 38
1. Research background 38
2. Literature review 40
3. Measuring income mobility 42
A. Data 42
B. Mobility among income brackets 46
4. Decisive factors of income mobility 58
A. Estimation model 58
B. Summary statistics 60
C. Estimation results 63
5. Conclusion 69
IV. Conclusion and Policy Implications 72
Bibliography 78
〈Table II-1〉 Composition of Total Income 20
〈Table II-2〉 Trends in the Sizes of Different Types of Populations 21
〈Table II-3〉 Threshold and Average Income of the Highest Income Group 29
〈Table II-4〉 Income Concentration Estimates and Population-Dependent Differentials 31
〈Table II-5〉 Comparison to Kim and Kim(2014) 34
〈Table III-1〉 Fiscal Panel Studies and the Ratios of Income Report-Filing Households 42
〈Table III-2〉 Household Income Levels: All Households 44
〈Table III-3〉 Household Income Levels: Working-Age Households(with Household... 45
〈Table III-4〉 Changing Class Makeup of Households: All Households 47
〈Table III-5〉 Changing Class Makeup of Households: Working-Age Households 47
〈Table III-6〉 Income Mobility Trend: All Households 48
〈Table III-7〉 Income Mobility Trend: All Households 50
〈Table III-8〉 Income Mobility Rates by Year: All Households 51
〈Table III-9〉 Income Mobility Rates from the Half-Life Perspective: All Households 52
〈Table III-10〉 Income Mobility Trend: Working-Age Households 53
〈Table III-11〉 Income Mobility Trend: Working-Age Households 53
〈Table III-12〉 Income Mobility Rates by Year: Working-Age Households 54
〈Table III-13〉 Income Mobility Rates from the Half-Life Perspective: Working-Age... 56
〈Table III-14〉 Long-term Equilibrium of Class Makeup: Market Income and Yearly... 57
〈Table III-15〉 Long-term Equilibrium of Class Makeup: Market Income and Half-Life... 58
〈Table III-16〉 Summary Statistics of Regression Analysis: All Households 61
〈Table III-17〉 Summary Statistics of Regression Analysis: Working-Age Households 62
〈Table III-18〉 Year-by-Year Income Growth Rate Estimates(Pooled OLS) 63
〈Table III-19〉 Half-life Income Growth Rate Estimates(OLS) 64
〈Table III-20〉 Panel Analysis of Year-by-Year Income Growth Rates(LSDV) 66
〈Table III-21〉 Panel Analysis of Year-by-Year Income Growth Rates(LSDV-IV) 68
〈Table III-22〉 Panel Analysis of Income Growth Rates(LSDV-IV): Top 10 Percent 69
[Figure II-1] Trends in Measures of Income Distribution in Korea 13
[Figure II-2] Density Function of the Population in High Income Groups 23
[Figure II-3] Mean Split Histogram Method 26
[Figure II-4] Population-Dependent Differentials in Income Concentration 32