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Table 7 FE estimators with different sizes and numbers of synthetic individuals

From: Preferences for redistribution in Europe

Variable

Baseline: Cohort size ≥30

Cohort size ≥50

No minimum cohort size

Cohort size ≥30

Cohort size ≥30

& 10 birth year cohorts

& 10 birth year cohorts

& 10 birth year cohorts

& 7 birth year cohorts

& 14 birth year cohorts

coeff

std error

adj R 2

n

coeff

std error

adj R 2

n

coeff

std error

adj R 2

n

coeff

std error

adj R 2

n

coeff

std error

adj R 2

n

lagged one year:

                    

gini net

0.0097***

(0.0036)

0.180

2657

0.0140***

(0.0041)

0.216

2211

0.0083**

(0.0036)

0.141

3037

0.0090**

(0.0037)

0.208

1963

0.0117***

(0.0037)

0.180

3372

gini market

0.0060**

(0.0023)

0.180

2657

0.0065***

(0.0025)

0.213

2211

0.0074***

(0.0022)

0.144

3037

0.0071***

(0.0025)

0.211

1963

0.0066***

(0.0023)

0.180

3372

top 1% income share

0.0082**

(0.0037)

0.179

2657

0.0097**

(0.0041)

0.213

2211

0.0037

(0.0044)

0.139

3037

0.0065*

(0.0039)

0.206

1963

0.0083**

(0.0036)

0.178

3372

social protection expend, % GDP

−0.0111**

(0.0047)

0.161

2348

−0.0148***

(0.0049)

0.204

1957

−0.0082*

(0.0045)

0.135

2677

−0.0103*

(0.0054)

0.187

1736

−0.0111**

(0.0044)

0.165

2979

lagged two years:

                    

gini net

0.0071**

(0.0033)

0.183

2657

0.0108***

(0.0036)

0.218

2211

0.0052

(0.0032)

0.143

3037

0.0058*

(0.0033)

0.209

1963

0.0078**

(0.0033)

0.182

3372

gini market

0.0033*

(0.0018)

0.182

2657

0.0035*

(0.0019)

0.215

2211

0.0035**

(0.0017)

0.143

3037

0.0036*

(0.0019)

0.210

1963

0.0032*

(0.0018)

0.181

3372

top 1% income share

0.0196***

(0.0052)

0.191

2657

0.0207***

(0.0056)

0.225

2211

0.0124**

(0.0061)

0.145

3037

0.0172***

(0.0058)

0.216

1963

0.0192***

(0.0049)

0.188

3372

social protection expend, % GDP

−0.0049

(0.0045)

0.157

2329

−0.0074

(0.0047)

0.197

1942

−0.0021

(0.0046)

0.135

2657

−0.0037

(0.0050)

0.183

1722

−0.0044

(0.0041)

0.161

2954

1 year lag x 2 year lag:

                    

gini net

0.0088**

(0.0035)

0.181

2657

0.0131***

(0.0040)

0.217

2211

0.0070**

(0.0035)

0.142

3037

0.0077**

(0.0035)

0.208

1963

0.0102***

(0.0035)

0.181

3372

gini market

0.0047**

(0.0021)

0.181

2657

0.0051**

(0.0022)

0.214

2211

0.0055***

(0.0020)

0.143

3037

0.0053**

(0.0023)

0.210

1963

0.0049**

(0.0021)

0.180

3372

top 1% income share

0.0137***

(0.0046)

0.184

2657

0.0151***

(0.0051)

0.218

2211

0.0074

(0.0055)

0.142

3037

0.0116**

(0.0050)

0.210

1963

0.0135***

(0.0045)

0.183

3372

social protection expend, % GDP

−0.0091*

(0.0050)

0.159

2348

−0.0125**

(0.0052)

0.201

1957

−0.0056

(0.0049)

0.134

2677

−0.0080

(0.0057)

0.185

1736

−0.0087*

(0.0045)

0.163

2979

  1. ***p < 0.01, **p < 0.05, *p < 0.1. Standard errors are robust and clustered by country and cohort. Each row corresponds to a different regression and only reports the corresponding income inequality coefficient. Each regression includes the same covariates as in Table 5, and year dummies. In the first panel, inequality measures are lagged one year with respect to the ESS wave as in previous specifications. In the middle panel, inequality measures are lagged two years. In the bottom panel, the inequality measures are the averages of the one and two year lags.