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Inequality Decompositions ?A Reconciliation

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Author Info
Frank A. Cowell () (London School of Economics and STICERD)
Carlo V. Fiorio (University of Milan and Econpubblica)

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Abstract

We show how classic source-decomposition and subgroup-decomposition methods can be reconciled with regression methodology used in the recent literature. We also highlight some pitfalls that arise from uncritical use of the regression approach. The LIS database is used to compare the approaches using an analysis of the changing contributions to inequality in the United States and Finland.

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File URL: http://www.ecineq.org/milano/WP/ECINEQ2009-117.pdf
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Publisher Info
Paper provided by ECINEQ, Society for the Study of Economic Inequality in its series Working Papers with number 117.

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Length: 34 pages
Date of creation: 2009
Date of revision:
Handle: RePEc:inq:inqwps:ecineq2009-117

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Related research
Keywords: Inequality; decomposition.;

Find related papers by JEL classification:
D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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This page was last updated on 2009-11-26.

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