Article (Scientific journals)
The Intensity and Shape of Inequality: The ABG Method of Distributional Analysis
Chauvel, Louis
2016In Review of Income and Wealth, 62 (1), p. 52–68
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Keywords :
inequality; distributions; isograph
Abstract :
[en] Inequality is anisotropic: its intensity varies by income level. We here develop a new tool, the isograph, to focus on local inequality and illustrate these variations. This method yields three coefficients which summarize the shape of inequality: a main coefficient, Alpha, which measures inequality at the median, and two correction coefficients, Beta and Gamma, which pick up any differential curvature at the top and bottom of the distribution. The analysis of a set of 232 microdata samples from 41 different countries in the LIS datacenter archive allows us to provide a systematic overview of the properties of the ABG (Alpha Beta Gamma) coefficients, which are compared both to a set of standard indices (Atkinson indices, generalized entropy, Wolfson polarization, etc.) and the GB2 distribution. This method also provides a smoothing tool that reveals the differences in the shape of distributions (the strobiloid) and how these have changed over time.
Research center :
irsei
Disciplines :
Quantitative methods in economics & management
Author, co-author :
Chauvel, Louis ;  University of Luxembourg > Faculty of Language and Literature, Humanities, Arts and Education (FLSHASE) > Integrative Research Unit: Social and Individual Development (INSIDE)
External co-authors :
no
Language :
English
Title :
The Intensity and Shape of Inequality: The ABG Method of Distributional Analysis
Publication date :
March 2016
Journal title :
Review of Income and Wealth
ISSN :
1475-4991
Publisher :
Wiley-Blackwell
Volume :
62
Issue :
1
Pages :
52–68
Peer reviewed :
Peer Reviewed verified by ORBi
Name of the research project :
R-STR-3064-00 > PEARL-Institute for Research on Socio-Economic Inequality > > CHAUVEL Louis
Funders :
FNR - Fonds National de la Recherche [LU]
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