Inequality decomposition by population subgroups for ordinal data
AbstractWe present a class of decomposable inequality indices for ordinal data (e.g. self-reported health survey). It is characterized by well-known inequality axioms (e.g. scale invariance) and a decomposability axiom which states that an index can be represented as a function of inequality values in subgroups and subgroup sizes. The only decomposable indices are strictly monotonic transformations of the weighted average of frequencies in categories. Among the indices proposed in the literature only the absolute value index (Abul Naga and Yalcin, 2008; Apouey, 2007) is decomposable. As an empirical illustration we calculate regional contributions to overall health inequality in Switzerland.
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Bibliographic InfoArticle provided by Elsevier in its journal Journal of Health Economics.
Volume (Year): 31 (2012)
Issue (Month): 1 ()
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Web page: http://www.elsevier.com/locate/inca/505560
Ordered response health data; Inequality measurement; Health inequality; Ordinal data; Decomposition;
Other versions of this item:
- Martyna Kobus & Piotr Miłoś, 2011. "Inequality decomposition by population subgroups for ordinal data," Working Papers 2011-24, Faculty of Economic Sciences, University of Warsaw.
- I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
- I1 - Health, Education, and Welfare - - Health
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- Ramses H. Abul Naga & Tarik Yalcin, 2007.
"Inequality Measurement forOrdered Response Health Data,"
STICERD - Distributional Analysis Research Programme Papers
92, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
- Abul Naga, Ramses H. & Yalcin, Tarik, 2008. "Inequality measurement for ordered response health data," Journal of Health Economics, Elsevier, vol. 27(6), pages 1614-1625, December.
- Shorrocks, Anthony F, 1984. "Inequality Decomposition by Population Subgroups," Econometrica, Econometric Society, vol. 52(6), pages 1369-85, November.
- Benedicte Apouey, 2007. "Measuring health polarization with self-assessed health data," Health Economics, John Wiley & Sons, Ltd., vol. 16(9), pages 875-894.
- Allison, R. Andrew & Foster, James E., 2004. "Measuring health inequality using qualitative data," Journal of Health Economics, Elsevier, vol. 23(3), pages 505-524, May.
- Tugce Cuhadaroglu, 2013. "My Group Beats Your Group: Evaluating Non-Income Inequalities," Discussion Paper Series, Department of Economics 201308, Department of Economics, University of St. Andrews.
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