We show how classic source-decomposition and subgroup-decomposition methods can be reconciled with regression methodology used in the recent literature. We also highlight some pitfalls that arise from uncritical use of the regression approach. The LIS database is used to compare the approaches...

When families reform there are implications for the income distribution through a number of economic mechanisms: income sharing, changes in household need, reweighting the distribution. These changes are distinct from those that generate changes in factor income or transfers and may affect...