Measuring and explaining economic inequality: An extension of the Gini coefficient
AbstractThis paper proposes a new class of inequality indices based on the Gini’s coefficient. The properties of the indices are studied and in particular they are found to be regular, relative and satisfy the Pigou-Dalton transfer principle. A subgroup decomposition is performed and the method is found to be similar to the one used by Dagum when decomposing the Gini index. The theoretical results are illustrated by case studies, using Cameroonian data.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 31242.
Date of creation: 2008
Date of revision: 2010
Measuring inequality; Generalisation of the Gini index; Pigou-Dalton’s transfer; Subgroup decomposition.;
Find related papers by JEL classification:
- D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
- C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation
- D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
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- repec:ebl:ecbull:v:4:y:2003:i:7:p:1-6 is not listed on IDEAS
- Dagum, Camilo, 1997. "A New Approach to the Decomposition of the Gini Income Inequality Ratio," Empirical Economics, Springer, vol. 22(4), pages 515-31.
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