2026-07-072026-07-07http://salesiana.dossiersoluciones.com/handle/123456789/217883In this paper we tackle the problem of estimating the power-law tail exponent of income distributions by using the Hill's estimator. A subsample semi-parametric bootstrap procedure minimising the mean squared error is used to choose the power-law cutoff value optimally. This technique is applied to personal income data for Australia and Italy.Latex2e v1.6; 8 pages with 3 figures; in press (Physica A)Physics and SocietyStatistical Financetext