Income distribution

Income distribution Degree of labor voice in management... 

The field of statistics as a separate discipline began m the early to mid nineteenth century among German, British, French, and Belgian social reformers, refeired to as statists i.e., those that were concerned with numbers related to the state, including crime rates, income distributions, etc. [34] The appeal of frequency-based interpretation of probability would have been natural m the study of large human populations. 

In sum, Wilkinson focuses his explanatory hypothesis on social anxiety. He links social anxiety to shame, depression and violence, and emphasizes that social anxiety has its roots in perceptions of inferiority, unattractiveness, failure or rejection. This helps explain why health is so closely related to lack of friends, low social status, violence and poor early emotional attachment, all of which are associated with similar patterns of raised basal cortisol levels and attenuated responses to experimental stressors. He concludes, therefore, that social anxiety is a very plausible central source of the chronic anxiety that depresses health standards and feeds into the socioeconomic gradient in health. As he puts it, the most important psychosocial determinant of population health is the levels of the various forms of social anxiety in the population, and these in turn are determined by income distribution, early childhood and social networks (Wilkinson, 1999, p. 60). Thus, social anxiety is suggested as an explanation for the links between health and friendship, health and early emotional development, health and the direct psychosocial effects of low social status, the patterning of violence and health in relation to inequality, and health and social cohesion (Wilkinson, 1999, p. 61). 

In addressing the question of how income inequality is linked to population health, Muntaner and Lynch (1999) identified two strands of causation, thus combining the approaches of Kaplan and Wilkinson. First, they claim that income inequality is associated with a set of social processes and economic policies that systematically under-invest in physical and social infrastructure (e.g. education). Secondly, large disparities in income distribution may have direct consequences on people s perceptions of their relative place in the social environment, which leads to behavioral and cognitive states that influence health. 

Kennedy, B. P., Kawachi, I. and Prothrow-Stith, D. (1996), Income distribution and mortality cross-sectional ecological study of the Robin Hood index in the United States , British MedicalJournal, 312, 1004-1007. 

Wilkinson, R. G. (1990), Income distribution and mortality a natural experiment , Social Health Illness, 12, 391-412. 

Miyazawa, K. (1976) Input-Output Analysis and the Structure of Income Distribution, Heidelberg Springer-Verlag. 

Ricardo, D. (1951) Collected Works and Income Distribution, volume 1, Cambridge Cambridge University Press. 

Whereas a reduction in production may actually increase the aggregate farm income and produce serious income distribution problems, the consequent reduction in marketable surplus would cause a significant rise in the cost to consumers, because of the inelastic consumer demand for most agricultural crops. Therefore, at the consumer level, losses based on farm prices are not appropriate and are likely to be conservative. Because of percentage markups and fixed wholesale and retail marketing costs, the cost to the consumer of agricultural losses could be twice as great as that observed at the farm level—i.e., a 300 million loss at the farm level in 1974 could represent a 600 million loss to the consumer. 

Size of market for your products rate of growth Size of population rate of growth Per capita income rate of growth Income distribution... 

For this neoclassical theory of exploitation see Bronfentnenner, Income Distribution Theory. ch. Sand my "Exploring exploitation". 

Once the number of total allowances has been decided, the distribution of free allowances to existing installations is just an exercise in income-distribution policy. The free allowances to existing installations represent a financial subsidy that contains no environmental incentive whatsoever. The way free allowances are allocated to existing installations may thus reward companies for a historical effort in CO2... 

Markets may lead to an income distribution within society which is considered unacceptable. 

As we have seen, because of the nature of public goods, their allocation within a society tends to be sub-optimal. However, market effects can also lead to a sub-optimal distribution income. Correction of a sub-optimal income distribution is therefore a common objective of government actions. For example, in most countries, income taxes are proportionally higher -in theory - for high incomes than for low incomes. 

Forster M, Mira d Ercole M (2005) Income Distribution and Poverty in OECD Counties in the Second Elalf of the 1990s. OECD Social, Employment and Migration Working... 

Finn D (2003) The employment first welfare state Lessons from the new deal for young people. Social Pohcy and Administration 37 (7) 709-724 Finn D, Blackmore M, Nimmo M (1998) Welfare to Work and the Long Term Unemployed They re Very Cynical. Unemployment Unit and Youthaid, London Goode J, Callender C, Lister R (1998) Purse or Wallet Gender Inequalities and Income Distribution within Families on Benefits. Pohcy Studies Institute, London Gregg P, Harkness S, McMillan L (2006) Welfare to Work Pohcies and Child Poverty. Joseph Rowntree Foundation, York... 

The whole issue of denying the poor risks that they view as acceptable gets tied up with our perceptions of the income distribution. If we observe that poor people have to sell themselves into potential physical infirmities, we are forced to recognize that the income distribution is much more uneven or much more consequentially uneven than we have previously perceived. Prohibitions of this sort may be a way of salving the conscience of the middle class at the expense of the welfare of the poor. To the extent that it clouds perceptions about inequalities in the income distribution, it may do the poor a double disservice. 

A Pareto chart is a simple bar graph with classifications along the horizontal and vertical axes (Figure 16-8). The vertical axis is usually the number of occurrences, cost, or time. The horizontal axis orders the bars from the most frequent to the least frequent. This type of chart takes its name from a man named Vilfredo Pareto, who pioneered income distribution studies. 

In general, the Brazilian consumer buying potential is low, which is a reflection of the historical inequality of income distribution. 

The Organisation for Economic Co-operation and Deveiopment defines social assistance as support targeted to households that are clustered within the lower segment of the income distribution and provided to prevent extreme hardship among those with no other resources, reduce social exclusion, minimize disincentives to paid employment, and promote self-sufficiency (Adema 2006). 

FIGURE 2.2 Perceptions of Fairness of Cenntry income Distribution in Latin America... 

SOURCE Lindert, Skoufias, and Shapiro 2006, p. 24. Responses to question Do you think that the income distribution... 

Targeting either to specific losers, or lower portion of income distribution... 

Fiousehold surveys can be used to analyze individual programs by revealing the characteristics of program beneficiaries the incidence of program benefits across income distribution or other groups and the extent of take-up, for example, if it is incomplete and why. Such surveys often collect information on participation in a number of safety net... 

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