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 Originally Posted by BananaStand
If one variable changes over time, and the other doesn't......what do you stats-geeks call that??
I'm pretty sure it's NOT "correlation"
If you made $4k as a teacher in 1920 and that put you in Q3, or you make $40k as a teacher today and are in Q3, then yes the rungs are further apart. But it's also true that if you improve your education and become a professor instead, you might make $8k in 1920 and $80k today, either of which would put you in Q2. In both cases you've gone up one quintile even though the absolute difference in income between a teacher and professor is $4k in 1920 and $40k today. This accounts for inflation and the fact that $40k now is closer in terms of real income to $4k in 1920 than it is to $40k in 1920.
The rungs scale with overall income, which is why they use quintiles not overall income.
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