Download This PaperCountry Inequality Rankings and Conversion Schemes
33 Pages Posted: 28 Jan 2012
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Country Inequality Rankings and Conversion Schemes
Economics Discussion Paper No. 2012-7
Number of pages: 33
Posted: 28 Jan 2012
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Country Inequality Rankings and Conversion Schemes
DIW Berlin Discussion Paper No. 1068
Number of pages: 35
Posted: 22 Oct 2010
Downloads
46
Date Written: 2012
Abstract
Two conversion schemes are usually employed for assessing personal-income inequality from household equivalent incomes: to weight household units by size or by needs. Using data from the Luxembourg Income Study, the authors show the sensitivity of country inequality rankings to conversion schemes and explain the finding by means of inequality decomposition. A bootstrap approach is implemented to test for statistical significance of the results.
Keywords: Inequality, equivalence scale, equivalent income, weighting scheme, decomposition
JEL Classification: D31, D63, I32
Suggested Citation: Suggested Citation
Schröder, Carsten and Boenke, Timm P., Country Inequality Rankings and Conversion Schemes (2012). Economics Discussion Paper No. 2012-7, Available at SSRN: https://ssrn.com/abstract=1994248 or http://dx.doi.org/10.2139/ssrn.1994248
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