Income distribution of older Americans

Monthly Labor Review

Volumn 123, Issue 11, 2000, Pages 19-30

  Rubin, Rose M ^a   White Means, Shelley I ^a   Daniel, Luojia Mao ^a  

^a UNIVERSITY OF MEMPHIS   (United States)

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[No Author keywords available]

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EID: 0038656796     PISSN: 00981818     EISSN: None     Source Type: Journal    
DOI: None     Document Type: Article

References (50)

1. Daniel H. Weinberg, A Brief Look at Postwar U.S. Income Inequality, Current Population Reports, Publication No. P60-191 (Bureau of the Census, June 1996).
2. See Nan L. Maxwell, "Demographic and Economic Determinants of United States Income Inequality," Social Science Quarterly, summer 1989, pp. 245-63; and Teresa Amott, "Re-slicing the Pie: Government Policy and Income Inequality," Dollars & Sense, May 1989, pp. 10-11.
3. See Nan L. Maxwell, "Demographic and Economic Determinants of United States Income Inequality," Social Science Quarterly, summer 1989, pp. 245-63; and Teresa Amott, "Re-slicing the Pie: Government Policy and Income Inequality," Dollars & Sense, May 1989, pp. 10-11.
4. See Michael D. Hurd, "Research on the Elderly: Economic Status, Retirement, and Consumption and Saving," Journal of Economic Literature, June 1990, pp. 565-637; and Stephen Crystal and Dennis Shea, "The Economic Well-Being of the Elderly," Review of Income and Wealth, September 1990, pp. 227-47.
5. See Michael D. Hurd, "Research on the Elderly: Economic Status, Retirement, and Consumption and Saving," Journal of Economic Literature, June 1990, pp. 565-637; and Stephen Crystal and Dennis Shea, "The Economic Well-Being of the Elderly," Review of Income and Wealth, September 1990, pp. 227-47.
6. Daniel E. Radner, "Incomes of the Elderly and Nonelderly, 1967-1992," Social Security Bulletin, winter 1995, pp. 82-97.
7. All median-income figures used in this article are in constant 1998 dollars.
8. Historical Income Tables, table H-15, "Age of Householder - House-holds by Median and Mean Income: 1967 to 1998," on the Internet at the Census Bureau home page, http://www.census.gov/hhes/income/ histinc/h10.htm.
9. Albert Ando and Franco Modigliani, "The Life Cycle Hypothesis of Saving: Aggregate Implication and Tests," American Economic Review, March 1963, pp. 55-84.
10. Milton Friedman, A Theory of Consumption Function (Princeton, NJ, Princeton University Press, 1957).
11. See Ando and Modigliani, "Life Cycle Hypothesis of Saving."
12. See Friedman, Theory of Consumption Function.
13. " See Gary Becker, A Treatise on the Family (Cambridge, MA, Harvard University Press, 1991); Robert Frank, Microeconomics and Behavior (New York, McGraw-Hill, 1997); and Susan E. Mayer, "Trends in the Economic Well-being and Life Chances of America's Children," Chapter 4 in Greg J. Duncan and Jeanne Brooks-Gunn (eds.), Consequences of Growing Up Poor (New York, Russell Sage Foundation, 1997).
14. " See Gary Becker, A Treatise on the Family (Cambridge, MA, Harvard University Press, 1991); Robert Frank, Microeconomics and Behavior (New York, McGraw-Hill, 1997); and Susan E. Mayer, "Trends in the Economic Well-being and Life Chances of America's Children," Chapter 4 in Greg J. Duncan and Jeanne Brooks-Gunn (eds.), Consequences of Growing Up Poor (New York, Russell Sage Foundation, 1997).
15. " See Gary Becker, A Treatise on the Family (Cambridge, MA, Harvard University Press, 1991); Robert Frank, Microeconomics and Behavior (New York, McGraw-Hill, 1997); and Susan E. Mayer, "Trends in the Economic Well-being and Life Chances of America's Children," Chapter 4 in Greg J. Duncan and Jeanne Brooks-Gunn (eds.), Consequences of Growing Up Poor (New York, Russell Sage Foundation, 1997).
16. See Becker, Treatise on the Family, p. 251.
17. See Mayer, Economic Well-being and Life Chances.
18. See Frank, Microeconomics and Behavior.
19. See Daniel B. Radner, "Money Incomes of Aged and Nonaged Family Units, 1967-1984," Social Security Bulletin, August 1987, pp. 9-28; "Changes in the Incomes of Age Groups, 1984-1989," Social Security Bulletin, December 1991, pp. 2-18; "An Assessment of the Economic Status of the Aged," Studies in Income Distribution, Publication No. 13-11776(16) (Social Security Administration, May 1993); and Incomes of the Elderly and Nonelderly.
20. See Daniel B. Radner, "Money Incomes of Aged and Nonaged Family Units, 1967-1984," Social Security Bulletin, August 1987, pp. 9-28; "Changes in the Incomes of Age Groups, 1984-1989," Social Security Bulletin, December 1991, pp. 2-18; "An Assessment of the Economic Status of the Aged," Studies in Income Distribution, Publication No. 13-11776(16) (Social Security Administration, May 1993); and Incomes of the Elderly and Nonelderly.
21. See Daniel B. Radner, "Money Incomes of Aged and Nonaged Family Units, 1967-1984," Social Security Bulletin, August 1987, pp. 9-28; "Changes in the Incomes of Age Groups, 1984-1989," Social Security Bulletin, December 1991, pp. 2-18; "An Assessment of the Economic Status of the Aged," Studies in Income Distribution, Publication No. 13-11776(16) (Social Security Administration, May 1993); and Incomes of the Elderly and Nonelderly.
22. See Daniel B. Radner, "Money Incomes of Aged and Nonaged Family Units, 1967-1984," Social Security Bulletin, August 1987, pp. 9-28; "Changes in the Incomes of Age Groups, 1984-1989," Social Security Bulletin, December 1991, pp. 2-18; "An Assessment of the Economic Status of the Aged," Studies in Income Distribution, Publication No. 13-11776(16) (Social Security Administration, May 1993); and Incomes of the Elderly and Nonelderly.
23. Daniel B. Radner, "The Retirement Prospects for the Baby Boom Generation," Social Security Bulletin, January 1998, pp. 3-19.
24. See Radner, "Economic Status of the Aged"; and Incomes of the Elderly and Nonelderly.
25. Since 1979, the term householder has been used in lieu of head of household. The householder is defined as the individual responding to the survey, who can be either spouse in a married-couple household. Therefore, classifying the household as elderly depends on the age of whichever spouse is the respondent.
26. Money Income in the United States: 1997, Current Population Reports, publication no. P60-200 (Bureau of the Census, 1998).
27. Consumer Income, publication no. P60-57 (Bureau of the Census, 1968), tables 1, 2; Money Income in 1977 of Households in the United States, Current Population Reports, publication no. P60-117 (Bureau of the Census, 1978), tables 13, 35; Money Income of Households, Families, and Persons in the United States, Current Population Reports, publication no. P60-162 (Bureau of the Census, 1989), tables 8, 29; Consumer Income, Current Population Reports, publication no. P60-57 (Bureau of the Census, 1998), table 1, p. 2; Measuring 50 Years of Economic Change Using the March Current Population Survey, Current Population Reports, publication no. P60-203 (Bureau of the Census, 1998), appendix, table C-19, pp. 35-41.
28. Consumer Income, publication no. P60-57 (Bureau of the Census, 1968), tables 1, 2; Money Income in 1977 of Households in the United States, Current Population Reports, publication no. P60-117 (Bureau of the Census, 1978), tables 13, 35; Money Income of Households, Families, and Persons in the United States, Current Population Reports, publication no. P60-162 (Bureau of the Census, 1989), tables 8, 29; Consumer Income, Current Population Reports, publication no. P60-57 (Bureau of the Census, 1998), table 1, p. 2; Measuring 50 Years of Economic Change Using the March Current Population Survey, Current Population Reports, publication no. P60-203 (Bureau of the Census, 1998), appendix, table C-19, pp. 35-41.
29. Consumer Income, publication no. P60-57 (Bureau of the Census, 1968), tables 1, 2; Money Income in 1977 of Households in the United States, Current Population Reports, publication no. P60-117 (Bureau of the Census, 1978), tables 13, 35; Money Income of Households, Families, and Persons in the United States, Current Population Reports, publication no. P60-162 (Bureau of the Census, 1989), tables 8, 29; Consumer Income, Current Population Reports, publication no. P60-57 (Bureau of the Census, 1998), table 1, p. 2; Measuring 50 Years of Economic Change Using the March Current Population Survey, Current Population Reports, publication no. P60-203 (Bureau of the Census, 1998), appendix, table C-19, pp. 35-41.
30. Consumer Income, publication no. P60-57 (Bureau of the Census, 1968), tables 1, 2; Money Income in 1977 of Households in the United States, Current Population Reports, publication no. P60-117 (Bureau of the Census, 1978), tables 13, 35; Money Income of Households, Families, and Persons in the United States, Current Population Reports, publication no. P60-162 (Bureau of the Census, 1989), tables 8, 29; Consumer Income, Current Population Reports, publication no. P60-57 (Bureau of the Census, 1998), table 1, p. 2; Measuring 50 Years of Economic Change Using the March Current Population Survey, Current Population Reports, publication no. P60-203 (Bureau of the Census, 1998), appendix, table C-19, pp. 35-41.
31. Consumer Income, publication no. P60-57 (Bureau of the Census, 1968), tables 1, 2; Money Income in 1977 of Households in the United States, Current Population Reports, publication no. P60-117 (Bureau of the Census, 1978), tables 13, 35; Money Income of Households, Families, and Persons in the United States, Current Population Reports, publication no. P60-162 (Bureau of the Census, 1989), tables 8, 29; Consumer Income, Current Population Reports, publication no. P60-57 (Bureau of the Census, 1998), table 1, p. 2; Measuring 50 Years of Economic Change Using the March Current Population Survey, Current Population Reports, publication no. P60-203 (Bureau of the Census, 1998), appendix, table C-19, pp. 35-41.
32. See Selected Characteristics by Quintile: March 1997, Current Population Survey, Annual Demographic Survey, March Supplement (Bureau of the Census, 1997), table 3, on the Internet at http:// ferret.bls.census.gov/macro/031997/quint/3_000.htm; Current Population Reports, March Supplement, table H-4 (Bureau of the Census, 1998), on the Internet at http://ferret.bls.census.gov/macro/031998/ hhinc/4_001.htm; and Current Population Reports, March Supplement, table 15 (Bureau of the Census, 1998), on the Internet at http:// ferret.bls.census.gov/macro/031998/quint/15_000.htm.
33. See Selected Characteristics by Quintile: March 1997, Current Population Survey, Annual Demographic Survey, March Supplement (Bureau of the Census, 1997), table 3, on the Internet at http:// ferret.bls.census.gov/macro/031997/quint/3_000.htm; Current Population Reports, March Supplement, table H-4 (Bureau of the Census, 1998), on the Internet at http://ferret.bls.census.gov/macro/031998/ hhinc/4_001.htm; and Current Population Reports, March Supplement, table 15 (Bureau of the Census, 1998), on the Internet at http:// ferret.bls.census.gov/macro/031998/quint/15_000.htm.
34. See Selected Characteristics by Quintile: March 1997, Current Population Survey, Annual Demographic Survey, March Supplement (Bureau of the Census, 1997), table 3, on the Internet at http:// ferret.bls.census.gov/macro/031997/quint/3_000.htm; Current Population Reports, March Supplement, table H-4 (Bureau of the Census, 1998), on the Internet at http://ferret.bls.census.gov/macro/031998/ hhinc/4_001.htm; and Current Population Reports, March Supplement, table 15 (Bureau of the Census, 1998), on the Internet at http:// ferret.bls.census.gov/macro/031998/quint/15_000.htm.
35. See Money Income in the United States: 1997. In the current article, the Lorenz curve distributions of income include only cash income (money income and cash assistance) and do not encompass the value of in-kind subsidies, such as food stamps, subsidized housing, medicare, and medicaid. Future research could extend the results obtained herein by comparing the distributions of cash income and total cash plus in-kind income. If the total value of all subsidies (cash plus inkind) were included in the analysis of income distribution, then inequality of the distribution of income would be reduced for all groups, but particularly for older Americans, who benefit from medicare and other subsidies. Therefore, caution must be exercised in attempting to extend the aforesaid conclusions on income distribution and the inequality of income distribution to a consideration of relative standards of living.
36. See Mike Fuller, "The Estimation of Gini Coefficients from Grouped Data, Upper and Lower Bounds," Economics Letters, vol. 3, no. 2, 1979, pp. 187-92; and Ed Welniak, Calculating Indexes of Income Concentration (GINI'S) from Grouped Data: An Empirical Study (Bureau of the Census, memo, June 10, 1998).
37. See Mike Fuller, "The Estimation of Gini Coefficients from Grouped Data, Upper and Lower Bounds," Economics Letters, vol. 3, no. 2, 1979, pp. 187-92; and Ed Welniak, Calculating Indexes of Income Concentration (GINI'S) from Grouped Data: An Empirical Study (Bureau of the Census, memo, June 10, 1998).
38. Welniak, Calculating Indexes of Income Concentration.
39. Radner, Money Incomes of Aged and Nonaged.
40. See John A. Bishop, Subhabrata Chakraborti, and Paul D. Thistle, "Relative Deprivation and Economic Welfare: A Statistical Investigation with Gini-Based Welfare Indices, Scandinavian Journal of Economics, vol. 93, no. 3, 1991, pp. 421-37; B. Milanovic, "A Simple Way to Calculate the Gini Coefficient, and Some Implications," Economics Letters, vol. 56, no. 1, 1997, pp. 45-49.
41. See John A. Bishop, Subhabrata Chakraborti, and Paul D. Thistle, "Relative Deprivation and Economic Welfare: A Statistical Investigation with Gini-Based Welfare Indices, Scandinavian Journal of Economics, vol. 93, no. 3, 1991, pp. 421-37; B. Milanovic, "A Simple Way to Calculate the Gini Coefficient, and Some Implications," Economics Letters, vol. 56, no. 1, 1997, pp. 45-49.
42. See J. J. Thompson, The Journalist and the Gini Coefficient: A Statistical Approach to Covering Income Inequality, master's thesis, School of Journalism and Mass Communications, University of North Carolina, 1995; J. J. Thompson, "A Tool for Measuring Income Inequality," Nieman Reports, spring 1997, pp. 42-44, on the Internet at http://web3.searchbank.com/infotrac/session/708/269/367525w7/ 18!xrn; and Welniak.
43. See J. J. Thompson, The Journalist and the Gini Coefficient: A Statistical Approach to Covering Income Inequality, master's thesis, School of Journalism and Mass Communications, University of North Carolina, 1995; J. J. Thompson, "A Tool for Measuring Income Inequality," Nieman Reports, spring 1997, pp. 42-44, on the Internet at http://web3.searchbank.com/infotrac/session/708/269/367525w7/ 18!xrn; and Welniak.
44. Welniak, Calculating Indexes of Income Concentration.
45. Welniak, Calculating Indexes of Income Concentration.
46. See Bishop, Chakraborti, and Thistle, "Relative Deprivation and Economic Welfare."
47. Rose M. Rubin and Michael L. Nieswiadomy, Expenditures of Older Americans (Westport, CT, Praeger Publishers, 1997), p. 60.
48. Current Population Reports, March supplement, 1998, table H-4.
49. Current Population Reports, March Supplement, 1998, table 15.
50. Rubin and Nieswiadomy, Expenditures of Older Americans, p. 77.