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On unit free assessment of the extent of multilateral distributional variation

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  • Gordon Anderson
  • Oliver Linton
  • Maria Grazia Pittau
  • Yoon-Jae Whang
  • Roberto Zelli

Abstract

SummaryMultilateral comparison of outcomes drawn from multiple groups pervade the social sciences and measurement of their variability, usually involving functions of respective group location and scale parameters, is of intrinsic interest. However, such approaches frequently mask more fundamental differences that more comprehensive examination of relative group distributional structures reveal. Indeed, in categorical data contexts, location- and scale-based techniques are no longer feasible without artificial and questionable cardinalisation of categories. Here, Gini’s transvariation measure is extended and employed in providing quantitative and visual multilateral comparison tools in discrete, continuous, categorical, univariate, or multivariate settings which are particularly useful in paradigms where cardinal measure is absent. Two applications, one analysing Eurozone cohesion in terms of the convergence or divergence of constituent nations income distributions, the other, drawn from a study of ageing, health, and income inequality in China, exemplify their use in a continuous and categorical data environment.

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  • Gordon Anderson & Oliver Linton & Maria Grazia Pittau & Yoon-Jae Whang & Roberto Zelli, 2021. "On unit free assessment of the extent of multilateral distributional variation," The Econometrics Journal, Royal Economic Society, vol. 24(3), pages 502-518.
  • Handle: RePEc:oup:emjrnl:v:24:y:2021:i:3:p:502-518.
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    1. Gordon Anderson & Maria Grazia Pittau & Roberto Zelli, 2020. "Measuring the progress of equality of educational opportunity in absence of cardinal comparability," METRON, Springer;Sapienza Università di Roma, vol. 78(2), pages 155-174, August.
    2. Anderson, Gordon & Fu, Rui & Leo, Teng Wah, 2022. "Health, loneliness and the ageing process in the absence of cardinal measure: Rendering intangibles tangible," The Journal of the Economics of Ageing, Elsevier, vol. 22(C).

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    More about this item

    Keywords

    distributional variation coefficients; cardinal; ordinal and categorical data; transvariation;
    All these keywords.

    JEL classification:

    • C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - General
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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