Studying lifetime income inequality for individuals who belong to the same
cohort can contribute valuable insights that cannot be obtained by usual
analyses of annual incomes. Data from the social security system indicates
that in West Germany, over the cohorts born between 1935 and 1972, lifetime
earnings inequality has strongly increased. For male baby-boomers, lifetime
inequality is predicted to be 85 % larger than in the case of their fathers.
This is larger than the increase of inequality in the cross-section and points
to dramatic intergenerational changes in the German labor market.