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Nonparametric tests of stochastic dominance in bivariate distributions, with an application to UK data

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  • Ian Crawford

    ()
    (Institute for Fiscal Studies and University of Oxford)

Abstract

This paper make straightforward extensions to Anderson's (1996) nonparametric statistical tests of stochastic dominance criteria to bivariate distributions. These test are applied to a time series of cross-section datasets on household level total expenditure and non labour market time in the UK.

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Bibliographic Info

Paper provided by Institute for Fiscal Studies in its series IFS Working Papers with number W99/28.

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Date of creation: Jan 1999
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Handle: RePEc:ifs:ifsewp:99/28

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Keywords: Social welfare; stochastic dominance; nonparametric statistical;

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  1. Neary, J.P & Roberts, K.W.S, 1978. "The Theory of Household Behaviour under Rationing," The Warwick Economics Research Paper Series (TWERPS) 132, University of Warwick, Department of Economics.
  2. John C. Harsanyi, 1955. "Cardinal Welfare, Individualistic Ethics, and Interpersonal Comparisons of Utility," Journal of Political Economy, University of Chicago Press, vol. 63, pages 309.
  3. Ulph, David, 1978. "On labour supply and the measurement of inequality," Journal of Economic Theory, Elsevier, vol. 19(2), pages 492-512, December.
  4. Anderson, Gordon, 1996. "Nonparametric Tests of Stochastic Dominance in Income Distributions," Econometrica, Econometric Society, vol. 64(5), pages 1183-93, September.
  5. Levy, Haim & Paroush, Jacob, 1974. "Toward multivariate efficiency criteria," Journal of Economic Theory, Elsevier, vol. 7(2), pages 129-142, February.
  6. Atkinson, Anthony B & Bourguignon, Francois, 1982. "The Comparison of Multi-Dimensioned Distributions of Economic Status," Review of Economic Studies, Wiley Blackwell, vol. 49(2), pages 183-201, April.
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Cited by:
  1. David Sahn & Stephen Younger, 2005. "Improvements in children’s health: Does inequality matter?," Journal of Economic Inequality, Springer, vol. 3(2), pages 125-143, August.
  2. Oliver Linton & Esfandiar Maasoumi & Yoon-Jae Whang, 2002. "Consistent testing for stochastic dominance: a subsampling approach," LSE Research Online Documents on Economics 24927, London School of Economics and Political Science, LSE Library.
  3. Maasoumi, Esfandiar & Almas Heshmati, 2003. "Evaluating Dominance Ranking of PSID Incomes by various Household Attributes," Departmental Working Papers 0509, Southern Methodist University, Department of Economics.
  4. Gordon Anderson, 2008. "The empirical assessment of multidimensional welfare, inequality and poverty: Sample weighted multivariate generalizations of the Kolmogorov–Smirnov two sample tests for stochastic dominance," Journal of Economic Inequality, Springer, vol. 6(1), pages 73-87, March.
  5. Duclos, Jean-Yves & Sahn, David & Younger, Stephen D., 2003. "Polarization: Robust Multidimensional Poverty Comparisons," Cahiers de recherche 0304, CIRPEE.
  6. Jean-Yves Duclos & David Sahn & Stephen D. Younger, 2006. "Robust Multidimensional Spatial Poverty Comparisons in Ghana, Madagascar, and Uganda," World Bank Economic Review, World Bank Group, vol. 20(1), pages 91-113.

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