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Assessing the Inequalities of Wealth in Regions: the Italian Case

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  • Roy Cerqueti
  • Marcel Ausloos

Abstract

This paper discusses region wealth size distributions, through their member cities aggregated tax income. As an illustration, the official data of the Italian Ministry of Economics and Finance has been considered, for all Italian municipalities, over the period 2007-2011. Yearly data of the aggregated tax income is transformed into a few indicators: the Gini, Theil, and Herfindahl-Hirschman indices. On one hand, the relative interest of each index is discussed. On the other hand, numerical results confirm that Italy is divided into very different regional realities, a few which are specifically outlined. This shows the interest of transforming data in an adequate manner and of comparing such indices.

Suggested Citation

  • Roy Cerqueti & Marcel Ausloos, 2014. "Assessing the Inequalities of Wealth in Regions: the Italian Case," Papers 1410.4922, arXiv.org.
  • Handle: RePEc:arx:papers:1410.4922
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    File URL: http://arxiv.org/pdf/1410.4922
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    References listed on IDEAS

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    1. Wataru Souma, 2002. "Physics of Personal Income," Papers cond-mat/0202388, arXiv.org.
    2. Guanghua Wan & Ming Lu & Zhao Chen, 2007. "Globalization And Regional Income Inequality: Empirical Evidence From Within China," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 53(1), pages 35-59, March.
    3. Oihana Aristondo & José Luis García-Lapresta & Casilda Lasso de la Vega & Ricardo Alberto Marques Pereira, 2011. "The Gini index,the dual decomposition of aggregation functions, and the consistent measurement of inequality," Working Papers 203, ECINEQ, Society for the Study of Economic Inequality.
    4. repec:ebl:ecbull:v:4:y:2003:i:3:p:1-5 is not listed on IDEAS
    5. Clippe, Paulette & Ausloos, Marcel, 2012. "Benford’s law and Theil transform of financial data," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 391(24), pages 6556-6567.
    6. Giulia Rotundo & Anna D’Arcangelis, 2014. "Network of companies: an analysis of market concentration in the Italian stock market," Quality & Quantity: International Journal of Methodology, Springer, vol. 48(4), pages 1893-1910, July.
    7. Essama-Nssah, B, 1997. "Impact of Growth and Distribution on Poverty in Madagascar," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 43(2), pages 239-252, June.
    8. Fan, Shenggen & Kanbur, Ravi & Zhang, Xiaobo, 2008. "Regional Inequality In China: An Overview," Working Papers 51157, Cornell University, Department of Applied Economics and Management.
    9. Psacharopoulos, George, et al, 1995. "Poverty and Income Inequality in Latin America during the 1980s," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 41(3), pages 245-264, September.
    10. repec:ebl:ecbull:v:4:y:2003:i:7:p:1-6 is not listed on IDEAS
    11. Stéphane Mussard & Michel Terraza & Françoise Seyte, 2003. "Decomposition of Gini and the generalized entropy inequality measures," Economics Bulletin, AccessEcon, vol. 4(7), pages 1-6.
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