A rapidly growing area of economic research
investigates the top of the income distribution using
data from income tax records. This volume brings
together studies of top incomes for twelve countries
from around the world, including China, India, Japan,
Argentina and Indonesia. Together with the first volume,
published in 2007, the studies cover twenty two
countries. They have a long time span, the earliest data
relating to 1875 (for Norway), allowing recent
developments to be placed in historical perspective. The
volume describes in detail the source data and the
methods employed. It will be an invaluable reference
source for researchers in the field. Individual country
chapters deal with the specific nature of the data for
each of the countries, and describe the long-term
evolution of top income shares. In the countries as a
whole, dramatic changes have taken place at the top of
the income distribution. Over the first part of the
century, top income shares fell markedly. This largely
took the form of a reduction in capital incomes. The
different authors examine the impact of the First and
Second World Wars, contrasting countries that were and
were not engaged. They consider the impact of
depressions and banking crises, and pay particular
attention to the impact of progressive taxation. In the
last 30 years, the shares of top incomes have increased
markedly in the US and other Anglo-Saxon countries,
reflecting the increased dispersion of earnings. The
volume includes statistics on the much-discussed top pay
and bonuses, providing a global perspective that
discusses important differences between countries such
as the lesser increase in Continental Europe. This book,
together with volume 1, documents this interesting
development and explores the underlying causes. The
findings are brought together in a final summary chapter
by Atkinson, Piketty and Saez. |
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