This paper by Fatih Guvenen too Greg Kaplan is worth a read yesteryear anyone interested inwards inequality trends. An of import excerpt:
Since 2000, unlike measures of elevation income inequality convey exhibited rattling unlike trends. Top income shares based on measures of full income demo a continued rise, whereas elevation income shares based on wage too salary income demo no growth inwards inequality post-2000. The close of import divergence betwixt these ii measures of income is the income that accrues to S-corporations....
But interpreting trends inwards the S-corporation element is extremely difficult. Feenberg too Poterba (1993), Gordon too Slemrod (2002), too Cooper et al. (2016) warn that much of the recent growth inwards S-corporation income is income that previously accrued to C-corporations. Such income is non “new” income earned yesteryear elevation earners but is but income that was previously labeled every moment corporate income rather than household income.Sumber https://gregmankiw.blogspot.com/
