The Distribution of Income of Self-employed, Entrepreneurs and Professions as Revealed from Micro Income Tax Statistics in Germany

Merz: The Distribution of Income of Self-employed, Entrepreneurs and Professions

Table 9: Decomposition of Net Income Inequality in Germany 1992:

Single Professions (ordered by Inequality Shares (IWg))

	Theil Index	Inequality Share (Iw_s) %	Income Share %	Population Share %
Professions, all	0,48005	100,0	100,0	100,0
Groups: Single Professions
Other Professions	0,55036	38,03	26,86	38,98
Medical Doctors	0,20617	14,14	26,65	16,12
Architects	0,53460	13,63	9,91	8,61
Lawyers/ Notaries	0,36174	7,50	8,06	6,80
Dentists	0,24067	6,75	10,90	6,46
Tax Consultants	0,31679	5,17	6,34	5,57
Other Engineers/ Techn.	0,51472	4,97	3,75	3,79
Artistic Professions	0,74017	4,09	2,15	5,73
Natural Medical Practicioners	1,30857	1,79	0,53	0,73
Paramedical Professions	0,27231	1,59	2,27	4,27
Other Bus. Consultants	0,36617	0,95	1,01	1,07
Veterinary Doctors	0,24964	0,65	1,01	1,65
Auditors	0,53939	0,62	0,44	0,08
Chemists	0,40850	0,13	0,12	0,15
Between Group (IB)	-	19,04	-	-

Net income = individual taxable income minus fixed income tax (yearly)

All working = employees and self-employed (entrepreneurs and independent workers);

not included: income predominant from capital assets, let and lease, other sources
Professions = defined by predominant income

Source: Income Tax Statistic 1992, Sample of Individual Incomes and Taxes,
Federal Statistical Office 1999, 1995; Own calculations