This paper uses register data on tax assessed income from 1951 to 1989 for a representative sample of Swedish men in order to compare the distributions of annual income and 'lifetime' income. It is found that the dispersion of lifetime income is around 35 to 40 percent lower than typical...

The output of the Swedish education sector is defines as the addition to lifetime incomes generated by the schooling system. Using cross-sectional information on wages, employment rates, working hours, school-participation and leisure time, all by years of schooling, the authors compute new...

This paper examines the measurement of social welfare, poverty, and inequality, taking into account features that have been found to be important welfare determinants in behavioral economics. Most notably, we incorporate reference-dependence, loss aversion, and diminishing sensitivity—aspects...