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Ordinal and Cardinal Measures of Health Inequality: An Empirical Comparison

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Madden, D

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Abstract

When measuring health inequality using ordinal data, analysts typically must choose between indices specifically based upon ordinal data and more standard indices using ordinal data which has been transformed into cardinal data. This paper compares inequality rankings across a number of different approaches and finds considerable sensitivity to the choice between ordinal and cardinal based indices. There is relatively little sensitivity to the ethical choices made by the analyst in terms of the weight attached to different parts of the distribution.

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Publisher Info
Paper provided by HEDG, c/o Department of Economics, University of York in its series Health, Econometrics and Data Group (HEDG) Working Papers with number 08/09.

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Date of creation: May 2008
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Handle: RePEc:yor:hectdg:08/09

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Related research
Keywords: Inequality; cardinal; ordinal.;

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Find related papers by JEL classification:
D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
I31 - Health, Education, and Welfare - - Welfare and Poverty - - - General Welfare

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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. Ramses H. Abul Naga & Tarik Yalcin, 2007. "Inequality Measurement forOrdered Response Health Data," STICERD - Distributional Analysis Research Programme Papers 92, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE. [Downloadable!]
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  2. Ann Lecluyse & Irina Cleemput, 2006. "Making health continuous: implications of different methods on the measurement of inequality," Health Economics, John Wiley & Sons, Ltd., vol. 15(1), pages 99-104. [Downloadable!]
  3. Allison, R. Andrew & Foster, James E., 2004. "Measuring health inequality using qualitative data," Journal of Health Economics, Elsevier, vol. 23(3), pages 505-524, May. [Downloadable!] (restricted)
  4. Jorgen Lauridsen & Terkel Christiansen & Unto Häkkinen, 2004. "Measuring inequality in self-reported health-discussion of a recently suggested approach using Finnish data," Health Economics, John Wiley & Sons, Ltd., vol. 13(7), pages 725-732. [Downloadable!]
  5. Nolan, Brian & Gannon, Brenda & Layte, Richard & Watson, Dorothy & Whelan, Christopher T. & Williams, James, 2002. "Monitoring Poverty Trends in Ireland: Results from the 2000 Living in Ireland survey," Research Series, Economic and Social Research Institute (ESRI), number PRS45.
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  6. Eddy van Doorslaer & Xander Koolman, 2004. "Explaining the differences in income-related health inequalities across European countries," Health Economics, John Wiley & Sons, Ltd., vol. 13(7), pages 609-628. [Downloadable!]
  7. Doorslaer, Eddy van & Jones, Andrew M., 2003. "Inequalities in self-reported health: validation of a new approach to measurement," Journal of Health Economics, Elsevier, vol. 22(1), pages 61-87, January. [Downloadable!] (restricted)
  8. Tom Van Ourti & Eddy Van Doorslaer & Xander Koolman, 2006. "The Effect of Growth and Inequality in Incomes on Health Inequality: Theory and Empirical Evidence from the European Panel," Tinbergen Institute Discussion Papers 06-108/3, Tinbergen Institute. [Downloadable!]
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