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Ungrouping Income Distributions: Synthesising Samples for Inequality and Poverty Analysis

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Author Info
Shorrocks, Anthony
Wan, Guanghua

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Abstract

We describe a new method of facilitating inequality and poverty analysis of grouped distributional data by allowing individual income observations to be reconstructed from any feasible grouping pattern. In contrast to earlier methods, our procedure ensures that the characteristics of the synthetic sample exactly match the reported values. The performance of the algorithm is evaluated first by using household survey records to compare true income observations with their synthetic counterparts, then by comparing the true and generated values of the Gini coefficient and other inequality indices. The results indicate that the new technique is capable of reproducing individual data from grouped statistics with a high degree of accuracy.

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File URL: http://www.wider.unu.edu/stc/repec/pdfs/rp2008/rp2008-16.pdf
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Paper provided by World Institute for Development Economic Research (UNU-WIDER) in its series Working Papers with number RP2008/16.

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Length: 24 pages
Date of creation: 2008
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Handle: RePEc:unu:wpaper:rp2008-16

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Related research
Keywords: grouped data; income distribution; inequality; poverty;

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This paper has been announced in the following NEP Reports: References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Davies, James B. & Sandstrom, Susanna & Shorrocks, Anthony & Wolff, Edward N., 2008. "The World Distribution of Household Wealth," Working Papers DP2008/03, World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
  2. Capeau, Bart & Decoster, Andre, 2004. "The Rise or Fall of World Inequality: A Spurious Controversy?," Working Papers UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
  3. François Bourguignon & Christian Morrisson, 2001. "Inequality among World Citizens : 1820-1992," DELTA Working Papers 2001-18, DELTA (Ecole normale supérieure).
  4. Davies, James B. & Sandstrom, Susanna & Shorrocks, Anthony & Wolff, Edward N., 2007. "Estimating the Level and Distribution of Global Household Wealth," Working Papers UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
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  5. McDonald, James B, 1984. "Some Generalized Functions for the Size Distribution of Income," Econometrica, Econometric Society, vol. 52(3), pages 647-63, May. [Downloadable!] (restricted)
  6. Stanislav Kolenikov & Anthony Shorrocks, 2005. "A Decomposition Analysis of Regional Poverty in Russia," Review of Development Economics, Blackwell Publishing, vol. 9(1), pages 25-46, 02. [Downloadable!] (restricted)
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  7. Chotikapanich, Duangkamon & Griffiths, William E. & Rao, D. S. Prasada, 2007. "Estimating and Combining National Income Distributions Using Limited Data," Journal of Business & Economic Statistics, American Statistical Association, vol. 25, pages 97-109, January. [Downloadable!] (restricted)
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  8. Branko milanovic, 2003. "True world income distribution, 1988 and 1993: First calculation based on household surveys alo," HEW 0305002, EconWPA. [Downloadable!]
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. James B. Davies & Susanna Sandstrom & David Laidler & David Laidler, 2009. "The Level and Distribution of Global Household Wealth," University of Western Ontario, RBC Financial Group Economic Policy Research Institute Working Papers 20091, University of Western Ontario, RBC Financial Group Economic Policy Research Institute. [Downloadable!]
  2. Camelia Minoiu & Sanjay Reddy, 2008. "Kernel Density Estimation Based on Grouped Data: The Case of Poverty Assessment," IMF Working Papers 08/183, International Monetary Fund. [Downloadable!]
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