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Ray-invariant intermediate inequality measures: A Lorenz dominance criterion

  • Francisco Azpitarte

    ()

    (University of Melbourne)

  • Olga Alonso-Villar

    (Universidade de Vigo)

This paper introduces a new Lorenz dominance criterion that allows ranking income distributions according to ray-invariant intermediate inequality measures. In doing so, it defines a-Lorenz curves by adapting the generalized Lorenz curves to this case. In addition, it provides an empirical illustration of these tools using Australian income data for the period 2001-2008. The results suggest that despite the reduction of relative inequality, inequality increased for most ray-invariant intermediate value judgments.

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File URL: http://www.ecineq.org/milano/WP/ECINEQ2011-226.pdf
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Paper provided by ECINEQ, Society for the Study of Economic Inequality in its series Working Papers with number 226.

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Length: 19 pages
Date of creation: 2011
Date of revision:
Handle: RePEc:inq:inqwps:ecineq2011-226
Contact details of provider: Web page: http://www.ecineq.org
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  1. Coral del Río & Olga Alonso-Villar, 2007. "Rankings of Income Distributions: A Note on Intermediate Inequality Indices," Working Papers 68, ECINEQ, Society for the Study of Economic Inequality.
  2. Seidl, Christian & Theilen, Bernd, 1994. "Stochastic independence of distributional attitudes and social status : A comparison of German and Polish data," European Journal of Political Economy, Elsevier, vol. 10(2), pages 295-310, July.
  3. Coral Río & Olga Alonso-Villar, 2010. "New unit-consistent intermediate inequality indices," Economic Theory, Springer, vol. 42(3), pages 505-521, March.
  4. Satya Chakravarty & Swami Tyagarupananda, 2009. "The subgroup decomposable intermediate indices of inequality," Spanish Economic Review, Springer, vol. 11(2), pages 83-97, June.
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