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A note on the decomposition technique of economic indices

Author

Listed:
  • Kota Mori

    (Yale University)

  • Joe Chen

    (National Chengchi University)

  • Yun Jeong Choi

    (Yonsei University)

  • Yasuyuki Sawada

    (University of Tokyo)

  • Saki Sugano

    (University of Tokyo, Japan Society for the Promotion of Science)

Abstract

This note introduces a generalized version of multi-component decomposition method, which disintegrates a growth rate of an index into the roles of individual components. The method can be applied to two classes of indices: the additive-product form and the product-additive form. The application to the Japanese mortality rate of cardiac disease is provided.

Suggested Citation

  • Kota Mori & Joe Chen & Yun Jeong Choi & Yasuyuki Sawada & Saki Sugano, 2012. "A note on the decomposition technique of economic indices," Economics Bulletin, AccessEcon, vol. 32(4), pages 2710-2715.
    • Handle: RePEc:ebl:ecbull:eb-12-00317
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    References listed on IDEAS

    as
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    3. Erik Dietzenbacher & Bart Los, 1998. "Structural Decomposition Techniques: Sense and Sensitivity," Economic Systems Research, Taylor & Francis Journals, vol. 10(4), pages 307-324.
    4. Prithwis Gupta, 1978. "A general method of decomposing a difference between two rates into several components," Demography, Springer;Population Association of America (PAA), vol. 15(1), pages 99-112, February.
    5. Evgeny M. Andreev & Vladimir M. Shkolnikov & Alexander Z. Begun, 2002. "Algorithm for decomposition of differences between aggregate demographic measures and its application to life expectancies, Gini coefficients, health expectancies, parity-progression ratios and total ," MPIDR Working Papers WP-2002-035, Max Planck Institute for Demographic Research, Rostock, Germany.
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    More about this item

    Keywords

    decomposition method; mortality rate;

    JEL classification:

    • J1 - Labor and Demographic Economics - - Demographic Economics
    • I1 - Health, Education, and Welfare - - Health

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