Income inequality of the Spanish families, an empirical analysis

Abstract

This paper analysed the evolution in inequality in income of the Spanish Households between 2002 and 2011. For that, it has been used Financial Survey of Household data. The aim of this paper is to analyse how some variables such a level of education of household head, the age of household head and the number of family members (family) affect the income of household. For that, we compute the variance of income, the Gini coefficient, the P50/25 ratio, the P90/50 ratio and the variance of explanatory variables (education, family and age). Our results show that education variable has the highest variance. Education variable is which explains a highest percentage of income variance.