33rd General Conference of the International Association for Research in Income and Wealth - IARIW 2014

Aktivität: Wissenschaftliche und künstlerische VeranstaltungenKonferenzenForschung

Bettina Scherg - Sprecher*in

    Polarization of Time and Income – A Multidimensional Analysis for Germany

    A growing polarization of society accompanied by an erosion of the middle class is receiving
    increasing attention in recent German economic and social policy discussion. Our study
    contributes to this discussion in two ways: First, on a theoretical level we propose extended
    multidimensional polarization indices based on a CES-type well-being function and present a
    new measure to multidimensional polarization, the mean minimum polarization gap 2DGAP.
    This polarization intensity measure provides transparency with regard to each single attribute,
    which is important for targeted policies, while at the same time respecting their
    interdependent relations. Second, in an empirical application time is incorporated, in addition
    to the traditional income measure, as a fundamental resource for any activity. In particular,
    genuine personal leisure time will account for social participation in the sense of social
    inclusion/exclusion and Amartya Sen’s capability approach.
    Instead of arbitrarily choosing the attribute parameters in the CES well-being function, the
    interdependent relations of time and income are evaluated by the German population. With
    the German Socio-Economic Panel (GSOEP) and detailed time use diary data from the
    German Time Use Survey (GTUS) 1991/92 and 2001/02, we quantify available and extended
    multidimensional polarization measures as well as our new approach to measuring the
    polarization of the working poor and affluent in Germany.
    There are three prominent empirical results: Genuine personal leisure time in addition to
    income is an important and significant polarization attribute. Compensation is of economic
    and statistical significance. The new minimum 2DGAP approach reveals that multidimensional
    polarization increased in the 1990s in Germany.
    30.09.2014
    33rd General Conference of the International Association for Research in Income and Wealth - IARIW 2014

    Veranstaltung

    33rd General Conference of the International Association for Research in Income and Wealth - IARIW 2014

    24.08.1430.08.14

    Rotterdam , Niederlande

    Veranstaltung: Konferenz