This paper uses data from the Luxembourg Income Study to examine some of the forces that have driven changes in household income inequality over the last three decades of the 20th century. We decompose inequality for 6 countries (Canada, Germany, Norway, Sweden, the UK, and the US) into the...

This paper uses data from the Luxembourg Income Study to examine some of the forces that have driven changes in household income inequality over the last three decades of the 20th century. We decompose inequality for 6 countries (Canada, Germany, Norway, Sweden, the UK, and the US) into the...

In the first part of this paper, we present the Balance of Inequality (BOI) index, a new approach to the measurement of inequality in which each individual is given a weight equal to her income, and the barycenter of the income distribution is used to measure its inequality. The BOI index...