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Was Ireland better off in 1994 than in 1987?

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  • David (David Patrick) Madden

Abstract

This paper examines the change in welfare in Ireland over the 1987- 1994 period by investigating whether Lorenz and Generalised Lorenz dominance can be observed for household expenditure data. It also calculates bootstrapped standard error measures for Lorenz and Generalised Lorenz curves and finds that the Generalised Lorenz curve for 1994 lies everywhere above that for 1987 thus indicating dominance. It also investigates whether welfare rose using more specific social welfare measures based on average expenditure and the Gini coefficient and finds a statistically significant rise in social welfare.

Suggested Citation

  • David (David Patrick) Madden, 2000. "Was Ireland better off in 1994 than in 1987?," Working Papers 200011, School of Economics, University College Dublin.
  • Handle: RePEc:ucn:wpaper:200011
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    File URL: http://hdl.handle.net/10197/774
    File Function: First version, 2000
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    References listed on IDEAS

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    1. Alberto Alesina & Dani Rodrik, 1994. "Distributive Politics and Economic Growth," The Quarterly Journal of Economics, Oxford University Press, vol. 109(2), pages 465-490.
    2. Luigi Pistaferri & Richard Blundell & Ian Preston, 2004. "Consumption Inequality, Income Uncertainty and Insurance," 2004 Meeting Papers 215, Society for Economic Dynamics.
    3. Richard Blundell & Ian Preston, 1998. "Consumption Inequality and Income Uncertainty," The Quarterly Journal of Economics, Oxford University Press, vol. 113(2), pages 603-640.
    4. Mills, Jeffrey A & Zandvakili, Sourushe, 1997. "Statistical Inference via Bootstrapping for Measures of Inequality," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 12(2), pages 133-150, March-Apr.
    5. Shorrocks, Anthony F, 1983. "Ranking Income Distributions," Economica, London School of Economics and Political Science, vol. 50(197), pages 3-17, February.
    6. Persson, Torsten & Tabellini, Guido, 1994. "Is Inequality Harmful for Growth?," American Economic Review, American Economic Association, vol. 84(3), pages 600-621, June.
    7. Sen, Amartya K, 1977. "On Weights and Measures: Informational Constraints in Social Welfare Analysis," Econometrica, Econometric Society, vol. 45(7), pages 1539-1572, October.
    8. Atkinson, Anthony B., 1970. "On the measurement of inequality," Journal of Economic Theory, Elsevier, vol. 2(3), pages 244-263, September.
    9. Donal O'Neill & Olive Sweetman, 1999. "Poverty and Inequality in Ireland: A Comparison using Measures of Income and Consumption," Economics, Finance and Accounting Department Working Paper Series n860399, Department of Economics, Finance and Accounting, National University of Ireland - Maynooth.
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    Cited by:

    1. David (David Patrick) Madden & Cathal Clancy, 2005. "Growth and inequality in Ireland : 1987 - 1999," Working Papers 200516, School of Economics, University College Dublin.
    2. Brian Nolan & Bertrand Maitre, 2000. "A Comparative Perspective on Trends in Income Inequality in Ireland," The Economic and Social Review, Economic and Social Studies, vol. 31(4), pages 329-350.

    More about this item

    Keywords

    Lorenz dominance; Generalised Lorenz dominance; Social welfare; Income distribution--Mathematical models; Public welfare--Ireland;

    JEL classification:

    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being

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