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Components of Gini, Bonferroni, and Zenga Inequality Indexes for EU Income Data
[journal article]
Abstract
In this work we apply a new approach to assess contributions from factor components to income inequality. The new approach is based on the insight that most (synthetic) inequality indexes may be viewed as (weighted) averages of point inequality measures, which measure inequality between population s... view more
In this work we apply a new approach to assess contributions from factor components to income inequality. The new approach is based on the insight that most (synthetic) inequality indexes may be viewed as (weighted) averages of point inequality measures, which measure inequality between population subgroups identified by income. Assessing contributions of factor components to point inequality measures is usually an easy task, and based on these contributions it is straightforward to define contributions to the corresponding (synthetic) overall inequality indexes as well. As we shall show through an analysis of income data from Eurostat’s European Community Household Panel Survey (ECHP), the approach based on point inequality measures gives rise to readily interpretable results, which, we believe, is an advantage over other methods that have been proposed in literature.... view less
Keywords
income distribution; difference in income; wage difference; inequality; social inequality; index; measurement; EU; data
Classification
Methods and Techniques of Data Collection and Data Analysis, Statistical Methods, Computer Methods
Free Keywords
Inequality decomposition; factor components; point inequality measures; synthetic inequality index; European Community Household Panel (ECHP)
Document language
English
Publication Year
2018
Page/Pages
p. 149-180
Journal
Journal of Official Statistics, 34 (2018) 1
DOI
https://doi.org/10.1515/jos-2018-0008
ISSN
2001-7367
Status
Published Version; peer reviewed
Licence
Creative Commons - Attribution-Noncommercial-No Derivative Works 4.0