Generalized Entropy Measures of Long-Run Inequality and Stability Among Male Headed Households

Levy Economics Institute Working Paper No. 41

26 Pages Posted: 19 Aug 1999

See all articles by Sourushe Zandvakili

Sourushe Zandvakili

University of Cincinnati - Department of Economics

Date Written: December 1990

Abstract

Short- and long-run inequalities and income stability among households with male heads are measured and analyzed using the Panel Study of Income Dynamics for 1969-81. The results suggest short-run inequalities are increasing over the period with fluctuations. These fluctuations contain transitory components which can be eliminated by smoothing of the data. Long-run measures are less subject to fluctuations and, therefore, provide a better measure of inequality. They show a decrease in inequality in the early periods but increases after the mid-1970's. Several aggregator functions are used to compute "permanent income" variables for the long-run measures of inequality and stability. The measures are decomposed to reflect differences in age, education, and race. They are decomposed also into groups which are free of such group characteristics. Education has the most important influence on inequality. Stability profiles indicate, furthermore, most of the reduction in inequality in the early periods among households with male heads has been within particular groups. Reductions across groups are minimal.

JEL Classification: J16

Suggested Citation

Zandvakili, Sourushe, Generalized Entropy Measures of Long-Run Inequality and Stability Among Male Headed Households (December 1990). Levy Economics Institute Working Paper No. 41, Available at SSRN: https://ssrn.com/abstract=175909 or http://dx.doi.org/10.2139/ssrn.175909

Sourushe Zandvakili (Contact Author)

University of Cincinnati - Department of Economics ( email )

Carl H. Lindner Hall 2925 Campus Green Drive
PO Box 0371
Cincinnati, OH 45221-0211
United States

Do you have negative results from your research you’d like to share?

Paper statistics

Downloads
87
Abstract Views
858
Rank
524,237
PlumX Metrics