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Statistical inference for testing Gini Coefficients: An application for Colombia

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  • Luis Fernando Gamboa
  • Andrés García-Suaza
  • Jesús Otero

Abstract

This paper uses Colombian household survey data collected over the 1984-2005 period to estimateGini coefficients and their corresponding standard errors. We find a statistically significant increase in wage income inequality following the adoption of the liberalization measures during the early 1990s,and mixed evidence from the recovery years that followed the economic recession during the late1990s. We also find that in several cases the observed differences in the Gini coefficients acrosscities have not been statistically significant.

Suggested Citation

  • Luis Fernando Gamboa & Andrés García-Suaza & Jesús Otero, 2010. "Statistical inference for testing Gini Coefficients: An application for Colombia," Revista ESPE - Ensayos Sobre Política Económica, Banco de la República, vol. 28(62), pages 226-238, June.
  • Handle: RePEc:col:000107:009431
    DOI: 10.32468/Espe.6206
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    1. Javier A. Birchenall, 2007. "Income distribution and macroeconomics in Colombia," Journal of Income Distribution, Ad libros publications inc., vol. 16(2), pages 6-24, June.
    2. Cunningham, Wendy & Jacobsen, Joyce P., 2008. "Earnings inequality within and across gender, racial, and ethnic groups in four Latin American Countries," Policy Research Working Paper Series 4591, The World Bank.
    3. Davidson, Russell, 2009. "Reliable inference for the Gini index," Journal of Econometrics, Elsevier, vol. 150(1), pages 30-40, May.
    4. Birchenall, Javier A., 2001. "Income distribution, human capital and economic growth in Colombia," Journal of Development Economics, Elsevier, vol. 66(1), pages 271-287, October.
    5. Baer, Werner & Maloney, William, 1997. "Neoliberalism and income distribution in Latin America," World Development, Elsevier, vol. 25(3), pages 311-327, March.
    6. Arango Luis Eduardo & Andrés Felipe Garcia & Carlos Esteban Posada, 2008. "La metodología de la Encuesta Continua de Hogares y el empalme de las series del mercado laboral urbano de Colombia," Revista Desarrollo y Sociedad, Universidad de los Andes,Facultad de Economía, CEDE, May.
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    More about this item

    Keywords

    inequality; Gini coefficient; bootstrap; Colombia.;
    All these keywords.

    JEL classification:

    • C12 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Hypothesis Testing: General
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty

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