Introduction
This paper will be about the analysis of structural breaks on the data from the World Top Income Database. The data is a time series of the Lowest 20%, Middle 60%, and the Top 20% incomes in the world. Specifically, this paper will be concerned on the Middle 60% where it can be seen that the trend on the average after-tax income changed in 1997.
Presentation of DataIn the data, the Middle 60% income reached a low 43033 in 1996 from an unsteady decrease since 1976 as can be seen in figure 1. The decrease came from a high of 49533 Continue reading...
