The Intensity and Shape of Inequality: The <scp>ABG</scp> Method of Distributional Analysis

Chauvel, Louis

doi:10.1111/roiw.12161

Cited by 16 publications

(21 citation statements)

References 41 publications

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“…The higher the curve at a given level of X (logit rank), the greater are the income inequalities at this level (For more details, pls. refer Chauvel(2016)). As can be seen from the figure, there is more inequality in 2012 at the extremes than in 2005.…”

Section: Iii2 Shape Of Inequality Of Income Distributionmentioning

confidence: 97%

“…To answer this question, we need to examine the shape of inequalities at the local level. A pioneering work in this context has recently been made by Chauvel (2016). The author used the wellknown Champernowne I -Fisk (CF) distribution (Champernowne, 1937(Champernowne, , 1952Fisk, 1961) as a baseline for local inequality analysis and accordingly, has proposed an ABG (α, β, γ) method of estimating three inequality parameters, compatible with the Pareto properties of the tails.…”

Section: Ii32 Shape Of Income Inequalitymentioning

confidence: 99%

“…Besides this, Chauvel (2016) proposed the introduction of an ISO function that generalizes the quantile CF income distribution (CFα) given by: …”

Section: M= αX + βB(x )X + γG(x )Xmentioning

confidence: 99%

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Examining Changes in the Level and Shape of Income Distributions in India, 2005-2012

Mishra¹,

Kar²

2017

Book of Abstracts International Conference on Economics and Development

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Though Indian economy since 1980s has expanded very rapidly, yet the benefits of growth remain very unevenly distributed. This is corroborated while examining the panel data from the India Human Development Survey for 2005 and 2012. We find that Gini as a measure of income inequality has increased from 0.52 to 0.53 between 2005 and 2012. While, income inequality in rural area has increased from 0.49 to 0.52, in urban area, the same has increased from 0.47 to 0.49 during the same period. Adding to this, based on a recent distribution analysis tool, "ABG" the paper focuses on local inequality, which summarizes the shape of inequality in terms of three inequality parameters (α, β and γ) to examine how the income distributions have changed over time. Here, the central coefficient (α) measures inequality at the median level, with correction parameters at the top (β) and bottom (γ). The results reveal that at the middle of distribution (α), there is almost the same inequality in both the period, but the coefficients on the curvature parameters β and γ show that there is less inequality in 2005 at the extremes than in 2012 (α+β and α+γ are both smaller in 2005). Surprisingly, there is more inequality in rural India than its counterpart at both the extremes. Thus, this paper stresses the importance of inequality reduction in ending poverty and boosting shared prosperity in two core areas namely; progressive taxation and substantial social spending in education and health sectors compared to its present level.

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Section: Iii2 Shape Of Inequality Of Income Distributionmentioning

confidence: 97%

Section: Ii32 Shape Of Income Inequalitymentioning

confidence: 99%

See 1 more Smart Citation

Examining Changes in the Level and Shape of Income Distributions in India, 2005-2012

Mishra¹,

Kar²

2017

Book of Abstracts International Conference on Economics and Development

View full text Add to dashboard Cite

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“…While sociological approaches are typically based on social classes as defined by occupational characteristics, and those used by political scientists are based on belonging to particular social classes, economists prefer the measurement of income groups. The incomebased approach we apply here allows for improved detection of massive local transformations in the shape of societies, and specifically whether and where on the income scale a 'hollowing of the middle class' happens (Chauvel, 2016). Source: Luxembourg Income Study (Chauvel, 2016).…”

Section: The Middle Classes Under Pressurementioning

confidence: 99%

“…The incomebased approach we apply here allows for improved detection of massive local transformations in the shape of societies, and specifically whether and where on the income scale a 'hollowing of the middle class' happens (Chauvel, 2016). Source: Luxembourg Income Study (Chauvel, 2016). …”

Section: The Middle Classes Under Pressurementioning

confidence: 99%

Malaise in the Western Middle Classes

Chauvel

Hartung

2016

SSRN Journal

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More necessary and less sufficient: an age-period-cohort approach to overeducation from a comparative perspective

2019

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In many countries, the skilled labor market has lagged educational expansion. As a result of increased competition, younger cohorts of the highly educated face decreasing returns to education or overeducation. Surprisingly, decreasing occupational outcomes do not coincide empirically with the economic returns among those with tertiary education. Regarding the process of changes in economic returns to education based on cohort transformations, we expect that the expansion of tertiary education affects specific cohorts, which find themselves facing more labor market competition. As a result, the economic returns to education should decrease among younger cohorts even when the overall returns to education remain stable over time. To study this process, we model economic returns with a new age-period-cohort-trended lag (APCTLAG) method, which allows us to compare the gap in economic returns between tertiary and less than tertiary education over cohorts. Using the Luxembourg Income Study (LIS), we analyze trends over three decades in 12 countries. Our results confirm that educational returns for tertiary education have declined over time, even though the gap between the educated and the less educated has remained similar in most of the countries. For younger cohorts, tertiary education has become more necessary to survive in the competitive labor market, but the actual economic returns have decreased-making tertiary education less sufficient than before.

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The Intensity and Shape of Inequality: The ABG Method of Distributional Analysis

Cited by 16 publications

References 41 publications

Examining Changes in the Level and Shape of Income Distributions in India, 2005-2012

Examining Changes in the Level and Shape of Income Distributions in India, 2005-2012

Malaise in the Western Middle Classes

More necessary and less sufficient: an age-period-cohort approach to overeducation from a comparative perspective

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