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A dissimilarity index of multidimensional inequality of opportunity

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  • Gaston Yalonetzky

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Abstract

A recent literature on inequality of opportunity offers quantitative tools for comparisons and measurement based on stochastic dominance criteria and traditional inequality indices. In this paper I suggest an additional way of assessing inequality of opportunity with two indices of dissimilarity across distributions. The indices are based on a traditional homogeneity test of multinomial distributions and are similar to the square coefficient of variation (Reardon and Firebaugh, Sociol Method 32:33–67, 2002 ). Their properties are studied, as well as their usefulness and limitations in applications when both circumstances and advantages/outcomes are multidimensional. An empirical application measures changes in inequality of opportunity from an old to a young cohort in Peru. The importance of assessing the sensitivity of the results to group definitions and group proportions is highlighted. Copyright Springer Science+Business Media, LLC. 2012

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  • Gaston Yalonetzky, 2012. "A dissimilarity index of multidimensional inequality of opportunity," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 10(3), pages 343-373, September.
    • Handle: RePEc:kap:jecinq:v:10:y:2012:i:3:p:343-373
    DOI: 10.1007/s10888-010-9162-z
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    References listed on IDEAS

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    1. Jaime Saavedra-Chanduví & José R. Molinas & Ricardo Paes de Barros & Francisco H. G. Ferreira, 2009. "Measuring Inequality of Opportunities in Latin America and the Caribbean," IDB Publications (Books), Inter-American Development Bank, number 361.
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    Cited by:

    1. Johanna Fajardo-Gonzalez, 2016. "Inequality of opportunity in adult health in Colombia," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 14(4), pages 395-416, December.
    2. Fabio Waltenberg & Marcia De Carvalho & Luis Fernando Gamboa, 2016. "Measuring Inequality Of Opportunity In Education By Combining Information On Coverage And Achievement In Pisa," Anais do XLII Encontro Nacional de Economia [Proceedings of the 42nd Brazilian Economics Meeting] 218, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics].
    3. Asadullah, M. Niaz & Yalonetzky, Gaston, 2012. "Inequality of Educational Opportunity in India: Changes Over Time and Across States," World Development, Elsevier, vol. 40(6), pages 1151-1163.

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