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Holger Schäfer / Jörg Schmidt / Christoph Schröder IW-Trends No. 1 25. March 2013 Wage and Income Mobility in Germany

Causes, Interdependences and Empirical Findings

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Wage and Income Mobility in Germany
Holger Schäfer / Jörg Schmidt / Christoph Schröder IW-Trends No. 1 25. March 2013

Wage and Income Mobility in Germany

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German Economic Institute (IW) German Economic Institute (IW)

Causes, Interdependences and Empirical Findings

While wage mobility in Germany has remained constant over time, income mobility has tended to decline. Nevertheless, every third advance in income level stems from a change in wage level. The overall decline in income mobility is evident in almost all types of household and also is largely independent of employment status. However, within the last few years those entering or returning to the labour market have been able to buck the downward trend. For both earnings and equivalised incomes, a high level of education leads to an increased chance of advancement and to a reduced danger of falling back. The chances of advancement are most improved by taking up gainful employment after a period without it. In this respect, there has been no substantial change since 2005. In addition the influence of wage mobility on income mobility has not significantly weakened since the middle of the 2000s.

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Wage and Income Mobility in Germany
Holger Schäfer / Jörg Schmidt / Christoph Schröder IW-Trends No. 1 25. March 2013

Wage and Income Mobility in Germany

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German Economic Institute (IW) German Economic Institute (IW)

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Matthias Diermeier / Madeleine F. Fischer / Judith Niehues in SOEP papers External Publication 20. March 2023

Punching up or Punching down?: How Stereotyping the Rich and the Poor Impacts Redistributive Preferences in Germany

Redistribution and the welfare state have been linked by academic discourse to narratives that portray specific societal groups as ‘deserving’ or ‘undeserving’. The present analysis contributes to this scholarship in a twofold manner.

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Maximilian Stockhausen IW-Report No. 63 26. November 2022

IW Distribution Report 2022: Influence of structural changes on income distribution

Academization, immigration and demographic change are defining issues of our time and influence the distribution of income. This year's report therefore focuses on the question of which long-term structural changes in the net income distribution are associated ...

IW

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