Measuring income inequalities beyond the Gini coefficient

Abstract: Growing interest in the analysis of interrelationships between income distribution and economic growth has recently stimulated new theoretical and empirical research. Measures such as the head-count ratio for the poverty index or the widely used Gini coefficient are aggregated indicators describing the general extent of inequality without deeper insights into income distribution among households. To derive an indicator accounting for income distribution among income groups, we propose a new approach based on an output oriented DEA model where the input value is unitized to 1 for each country and weights restrictions imposed so as to favour a higher income share in the lower quantiles. We demonstrate the merits of this approach on the quintile income breakdown data of 29 European countries. Prioritizing lower income groups’ welfare, countries such as Slovenia and Slovakia can be equally favoured by the new proposed indicator while being assessed differently by the Gini index. An int

Standort
Deutsche Nationalbibliothek Frankfurt am Main
Umfang
Online-Ressource
Sprache
Englisch
Anmerkungen
Veröffentlichungsversion
begutachtet (peer reviewed)
In: Central European Journal of Operations Research ; 28 (2020) 2 ; 561-578

Klassifikation
Wirtschaft

Ereignis
Veröffentlichung
(wo)
Mannheim
(wer)
SSOAR, GESIS – Leibniz-Institut für Sozialwissenschaften e.V.
(wann)
2020
Urheber
Luptáčik, Mikuláš
Nežinský, Eduard

DOI
10.1007/s10100-019-00662-9
URN
urn:nbn:de:0168-ssoar-79662-0
Rechteinformation
Open Access; Der Zugriff auf das Objekt ist unbeschränkt möglich.
Letzte Aktualisierung
25.03.2025, 13:48 MEZ

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Beteiligte

  • Luptáčik, Mikuláš
  • Nežinský, Eduard
  • SSOAR, GESIS – Leibniz-Institut für Sozialwissenschaften e.V.

Entstanden

  • 2020

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