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International Comparisons of Income Inequality: Tests for Lorenz Dominance across Nine Countries

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  • Bishop, John A
  • Formby, John P
  • Smith, W James
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    Abstract

    This paper examines income inequality across nine countries using the Luxembourg Income Study data set. New statistical tests and comparability of data provide an exceptionally clear picture of relative income inequality. Only 4 comparisons out of a possible 108 cannot be ranked. In most cases, differences in the definition of the recipient unit make little difference in the rankings. Irrespective of recipient units, Sweden, Norway, and Germany come out at the top of the ordinal Lorenz ranking, with Australia, Canada, and the United Kingdom in the middle, and the United States and Switzerland at the bottom. Copyright 1991 by The London School of Economics and Political Science.

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    Bibliographic Info

    Article provided by London School of Economics and Political Science in its journal Economica.

    Volume (Year): 58 (1991)
    Issue (Month): 232 (November)
    Pages: 461-77

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    Handle: RePEc:bla:econom:v:58:y:1991:i:232:p:461-77

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    Cited by:
    1. Stephen G. Donald & Garry F. Barrett, 2004. "Consistent Nonparametric Tests for Lorenz Dominance," Econometric Society 2004 Australasian Meetings 321, Econometric Society.
    2. María Margarita Bahamón & Juana Domínguez & José Javier Núñez, 2013. "La pobreza en Colombia, 2001-2005. Curvas globales, dominancia y aspectos inferenciales," Revista de Economía Institucional, Universidad Externado de Colombia - Facultad de Economía, vol. 15(29), pages 149-167, July-Dece.
    3. John Bishop & K. Chow & John Formby & Chih-Chin Ho, 1997. "Did Tax Reform Reduce Actual US Progressivity? Evidence from the Taxpayer Compliance Measurement Program," International Tax and Public Finance, Springer, vol. 4(2), pages 177-197, May.
    4. Jirada Prasartpornsirichoke & Yoshi Takahashi & Peera Charoenporn, 2012. "The Ranking of Inequality in Human Capital: Evidence from Asian Countries," IDEC DP2 Series 2-14, Hiroshima University, Graduate School for International Development and Cooperation (IDEC).
    5. van Doorslaer, Eddy & Wagstaff, Adam & Bleichrodt, Han & Calonge, Samuel & Gerdtham, Ulf-G. & Gerfin, Michael & Geurts, Jose & Gross, Lorna & Hakkinen, Unto & Leu, Robert E., 1997. "Income-related inequalities in health: some international comparisons," Journal of Health Economics, Elsevier, vol. 16(1), pages 93-112, February.
    6. repec:ese:iserwp:2009-04 is not listed on IDEAS
    7. Frank A Cowell & Maria-Pia Victoria-Feser, 1998. "Statistical Inference for Lorenz Curves with Censored Data," STICERD - Distributional Analysis Research Programme Papers 35, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
    8. Stephen P. Jenkins & Richard V. Burkhauser & Shuaizhang Feng & Jeff Larrimore, 2009. "Measuring Inequality Using Censored Data: A Multiple Imputation Approach," Discussion Papers of DIW Berlin 866, DIW Berlin, German Institute for Economic Research.
    9. Stephen G. Donald & Yu‐Chin Hsu & Garry F. Barrett, 2012. "Incorporating covariates in the measurement of welfare and inequality: methods and applications," Econometrics Journal, Royal Economic Society, vol. 15(1), pages C1-C30, 02.

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