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Journal of Official Statistics

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A Convenient Method of Decomposing the Gini Index by Population Subgroups

Tomson Ogwang
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  • Department of Economics, Brock University, 500 Glenridge Avenue, St. Catharines, Ontario, Canada L2S 3A1
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Published Online: 2014-02-14 | DOI: https://doi.org/10.2478/jos-2014-0005

Abstract

We propose a convenient method of estimating the within-group, between-group, and interaction components of the overall traditional Gini index from the estimated parameters of underlying “trick regression models” involving known forms of heteroscedasticity related to income. Two illustrative examples involving both real and artificial data are provided. The issue of appropriate standard error of the subgroup decomposition is also discussed.

Keywords: Subgroup decomposition; Stochastic approach; Gini index; pseudo-Gini

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About the article

Published Online: 2014-02-14

Published in Print: 2014-03-01


Citation Information: Journal of Official Statistics, ISSN (Online) 2001-7367, DOI: https://doi.org/10.2478/jos-2014-0005.

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