Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/281423 
Year of Publication: 
2020
Series/Report no.: 
Working Papers No. 07/2020
Publisher: 
Forum for a New Economy, Berlin
Abstract: 
We quantify the contribution of rental income to pre- and post-government equivalent household income inequality and of housing wealth to net wealth inequality between 2002 and 2017 in Germany by means of a factor decomposition. Further, we differentiate by region types (urban vs. rural, large vs. small municipalities) and federal states. We find that housing wealth, housing ownership and rental income particularly increased in large municipalities and urban areas; that rental income explains an increasing share of income inequality; and that the wealth inequality contribution of primary residence has increased over time, while the contribution of other real estate has decreased. Finally, we find an increasing rent load for the second quintile and the top quintile of the income distribution.
Subjects: 
inequality
income
consumption
wealth
JEL: 
C21
D12
D31
Creative Commons License: 
cc-by Logo
Document Type: 
Working Paper
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