E-mail: david.g.splinter at gmail.com
Joint Committee on Taxation
1625 Longworth Building
Washington, DC 20515
"Income Volatility and Mobility: U.S. Income Tax Data, 1999-2007"
with Victoria Bryant and John Diamond. Proceedings of the 102nd Annual Conference of the National Tax Association, 2009.
ABSTRACT: How do earnings volatility and mobility impact different income groups? We describe household earnings volatility by the full distribution of percent earnings changes and contrast measures of relative and absolute mobility using a panel of U.S. income tax returns from 1999 to 2007. While earnings volatility looks similar across most of the income distribution, we find more volatility among the bottom quintile of households, mostly from earnings gains, and more volatility among the top one percent, mostly from earnings losses. In contrast to typical findings of lower relative mobility among the bottom and top quintiles, we find higher absolute earnings mobility among households at the extremes of the distribution.
Other version: Baker Institute of Public Policy Working Paper. 2010.
"Financial Risk Management for Investment Planning of New Commodities Considering Plant Location and Budgeting"
with Javier Lavaja, Adam Adler, Jeremy Jones, Trung Pham, Kristin Smart, Michael Steele, and Miguel J. Bagajewicz, Industrial & Engineering Chemistry Research 45, no. 22 (2006): 7582-91.
ABSTRACT: The classical capacity planning problem considers the determination of the initial capacity for a particular network of processes and the timing and size of the future expansions. The data used for such a model are the forecasted demands and prices of raw material and products, as well as the utility costs. This paper expands the problem to also consider plant location, transportation of raw materials, and transportation of product to consumer markets. We also add budgeting constraints, which follow the cash flow through the life of the project and allow the project to finance the expansions. Finally, we add considerations about the price of the product in different markets. To illustrate the technique, we consider the case of ethyl lactate, a green solvent. The model was made stochastic, and financial risk is managed.
Showing Economic Data with Dynamic Graphs
Family earnings mobility from 1980 to 1990 using income tax panel data. The graph tracks families in the panel in both 1980 and 1990, so those entering or leaving the sample (marriage, divorce, etc.) are excluded. Quintiles are staggered to show quintile to quintile movements. Bubble size shows the fraction of families and bubble color shows each group's original mean earnings in 2010 dollars. Press the play button on the bottom left.
Just showing quintiles at the beginning and ending of a period conceals earnings movements along the way. This graph adds movements to 1985 quintiles. Only the initial 3rd quintile is shown to keep the graph clear. Bubble size shows the fraction of 3rd quintile families and color shows 1985 earnings (in 2010 dollars).
Increased annual earnings inequality 1980-1990 using U.S. income tax panel data.