| Abstract: | Summary Pareto’s Law may be applied only to the upper 50 per cent. of the incomes. In order to render it also applicable to the lower 50 per cent., the cumuled per cents. of the income recipients in this range must be calculated from poorest to richest. This can be established by making an examination of empirical material, and by comparing the log-log. scale with the log-normal distribution. The 10 per cent. highest incomes are higher, and the 10 per cent. lowest lower, than would follow from a log-normal distribution. Here, special factors are apparently exerting an influence upon the income distribution. The deviations from the log-normal distribution and the dispersion within this distribution are characteristic of a certain income distribution and are, therefore, important. |
