Appendix Table 1A:

Decomposition of Gini Coefficient by Welfare Era: 1968-2016 March Current Population Survey

	Unadjusted Estimates					Family Structure Adjusted Estimates
	Welfare Expansion 1968-1980	AFDC Reform Era I 1981-1987	AFDC Reform Era II 1981-1995	PWORA Era Pre- Recession 1996-2007	PWORA Era Post- Recession 2008-2016	Welfare Expansion 1968-1980	AFDC Reform Era I 1981-1987	AFDC Reform Era II 1981-1995	PWORA Era Pre- Recession 1996-2007	PWORA Era Post- Recession 2008-2016
Components of Gini Decomposition
Share of Income (Sk)
Earned	87.5%	84.7%	83.6%	83.9%	80.5%	88.5%	87.0%	86.6%	86.7%	84.0%
Welfare	1.3%	1.4%	1.3%	0.7%	0.5%	1.0%	0.8%	0.8%	0.4%	0.3%
Investment	1.7%	2.3%	2.2%	2.6%	2.1%	1.7%	2.4%	2.4%	2.8%	2.3%
Other Income	4.3%	4.9%	5.0%	4.6%	5.0%	4.2%	4.7%	4.7%	4.3%	4.6%
In Kind	5.2%	6.7%	7.9%	8.2%	11.8%	4.6%	5.1%	5.5%	5.8%	8.7%
Gini Coefficient (Gk)
Total Income	0.30	0.32	0.33	0.34	0.34	0.29	0.30	0.30	0.32	32.4%
Earned	0.36	0.41	0.43	0.43	0.45	0.34	0.37	0.38	0.39	41.2%
Welfare	0.94	0.93	0.93	0.95	0.96	0.96	0.95	0.96	0.97	97.5%
Investment	0.96	1.00	0.97	0.95	0.96	0.96	0.99	0.96	0.94	95.0%
Other Income	0.86	0.84	0.84	0.85	0.85	0.87	0.84	0.85	0.86	85.9%
In Kind	0.80	0.83	0.81	0.79	0.74	0.80	0.84	0.83	0.82	77.5%
Correlation (Rk)
Earned	0.92	0.91	0.91	0.92	0.90	0.93	0.91	0.92	0.93	91.4%
Welfare	−0.39	−0.37	−0.35	−0.31	−0.26	−0.38	−0.33	−0.32	−0.30	−25.9%
Investment	0.54	0.53	0.58	0.61	0.66	0.53	0.51	0.54	0.58	63.0%
Other Income	−0.02	0.02	0.08	0.10	0.12	−0.03	−0.01	0.05	0.08	9.6%
In Kind	0.08	−0.08	−0.15	−0.19	−0.06	0.09	−0.10	−0.21	−0.27	−14.1%
Estimated Impact of Income Components on Total Inequality
Proportionate Contribution to Total Inequality
Earned	97.9%	98.7%	99.4%	98.6%	96.5%	97.5%	98.5%	99.2%	98.7%	97.7%
Welfare	−1.7%	−1.5%	−1.3%	−0.6%	−0.4%	−1.3%	−0.9%	−0.8%	−0.4%	−0.3%
Investment	2.9%	3.9%	3.9%	4.5%	4.0%	3.0%	4.1%	4.1%	4.8%	4.3%
Other Income	−0.3%	0.2%	1.1%	1.2%	1.5%	−0.4%	−0.2%	0.7%	0.9%	1.2%
In Kind	1.1%	−1.4%	−3.0%	−3.7%	−1.6%	1.1%	−1.5%	−3.2%	−4.0%	−2.9%
Elasticity
Earned	0.105	0.140	0.158	0.147	0.160	0.091	0.115	0.125	0.120	0.136
Welfare	−0.030	−0.028	−0.025	−0.013	−0.008	−0.023	−0.017	−0.015	−0.008	−0.006
Investment	0.013	0.016	0.016	0.019	0.018	0.013	0.016	0.017	0.020	0.020
Other Income	−0.046	−0.047	−0.040	−0.035	−0.035	−0.046	−0.049	−0.041	−0.034	−0.035
In Kind	−0.042	−0.080	−0.109	−0.119	−0.135	−0.035	−0.065	−0.087	−0.097	−0.116