Inequality factor decomposition under uniform additions property with applications to Cameroonian rural data
In this article, we generalize and extend the Morduch and Sicular's (2002) Coefficient of Variation (CV)-squared decomposition approach. This leads to a class of decomposition methods which satisfy the uniform additions principle, especially in the case of the Gini index. The regression-based method using the new formulations of component contributions is carried out. An application using Cameroonian data is provided to support the appropriateness of the procedure and to contrast our results to those of Morduch and Sicular.
Volume (Year): 19 (2012)
Issue (Month): 14 (September)
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References listed on IDEAS
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- Wan, Guanghua, 2002. "Regression-based Inequality Decomposition: Pitfalls and a Solution Procedure," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
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STICERD - Distributional Analysis Research Programme Papers
82, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
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