Shapley inequality decomposition by factor components: Some methodological issues
Decomposition analysis provides help in the difficult task of explaining how economies trends and government policies affect the distribution of income. In this context, recent studies have proposed the application of the “Shapley Value” allocation method, a concept from cooperative game theory, to the decomposition of inequality. This paper examines the “Shapley inequality decomposition” by factor components focussing in particular on some methodological issues that cannot be solved from a theoretical point of view. Following an inductive approach, the empirical evidence obtained by applying several variants of the Shapley decomposition to the UK and US income distributions suggests an answer to some of the dilemmas faced by applied economists when implementing the Shapley decomposition technique. Copyright Springer-Verlag 2002
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
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.:
- Frédéric Chantreuil, 2000. "Axiomatics of Level Structure Values," Homo Oeconomicus, Institute of SocioEconomics, vol. 17, pages 177-191.
- Pierre-André Chiappori & François Bourguignon, 1998. "Fiscalité et redistribution," Revue Française d'Économie, Programme National Persée, vol. 13(1), pages 3-64.
- Shorrocks, A F, 1982. "Inequality Decomposition by Factor Components," Econometrica, Econometric Society, vol. 50(1), pages 193-211, January.
- F. Chantreuil & A. Trannoy, 1999.
"Inequality decomposition values : the trade-off between marginality and consistency,"
THEMA Working Papers
99-24, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
- Chantreuil, F. & Trannoy, A., 1999. "Inequality Decomposition Values: the Trade-Off Between Marginality and Consistency," Papers 99-24, Paris X - Nanterre, U.F.R. de Sc. Ec. Gest. Maths Infor..
- Maria Cancian & Deborah Reed, 1998. "Assessing The Effects Of Wives' Earnings On Family Income Inequality," The Review of Economics and Statistics, MIT Press, vol. 80(1), pages 73-79, February.
- Frédéric CHANTREUIL & Alain TRANNOY, 2011. "Inequality Decomposition Values," Annales d'Economie et de Statistique, ENSAE, issue 101-102, pages 13-36.
- Lerman, Robert I & Yitzhaki, Shlomo, 1985. "Income Inequality Effects by Income," The Review of Economics and Statistics, MIT Press, vol. 67(1), pages 151-56, February.
When requesting a correction, please mention this item's handle: RePEc:kap:jeczfn:v:77:y:2002:i:1:p:51-89. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Guenther Eichhorn)or (Christopher F. Baum)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.