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The k-generalized distribution: A new descriptive model for the size distribution of incomes

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Author Info
F. Clementi
T. Di Matteo
M. Gallegati
G. Kaniadakis

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Abstract

This paper proposes the k-generalized distribution as a model for describing the distribution and dispersion of income within a population. Formulas for the shape, moments and standard tools for inequality measurement - such as the Lorenz curve and the Gini coefficient - are given. A method for parameter estimation is also discussed. The model is shown to fit extremely well the data on personal income distribution in Australia and the United States.

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File URL: http://arxiv.org/abs/0710.3645
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File URL: http://arxiv.org/pdf/0710.3645
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Publisher Info
Paper provided by arXiv.org in its series Quantitative Finance Papers with number 0710.3645.

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Date of creation: Oct 2007
Date of revision: Jan 2008
Publication status: Published in Physica A: Statistical Mechanics and its Applications, Vol: 387, Issue: 13, 15 May 2008, pp: 3201-3208
Handle: RePEc:arx:papers:0710.3645

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