Country Inequality Rankings and Conversion Schemes
AbstractTwo conversion schemes are usually employed for assessing personal-income inequality from household equivalent incomes: to weight household units by size or by needs.Using data from the Luxembourg Income Study, we show the sensitivity of country inequality rankings to conversion schemes and explain the finding by means of inequality decomposition. A bootstrap approach is implemented to test for statistical significance of our results.
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Bibliographic InfoPaper provided by DIW Berlin, German Institute for Economic Research in its series Discussion Papers of DIW Berlin with number 1068.
Length: 18 , Anh. p.
Date of creation: 2010
Date of revision:
inequality; equivalence scale; equivalent income; weighting scheme; decomposition;
Other versions of this item:
- Schröder, Carsten & Bönke, Timm, 2012. "Country inequality rankings and conversion schemes," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy, vol. 6(28), pages 1-43.
- Schröder, Carsten & Bönke, Timm, 2012. "Country inequality rankings and conversion schemes," Economics Discussion Papers 2012-7, Kiel Institute for the World Economy.
- D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
- D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
- I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-10-23 (All new papers)
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