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    Wyświetlanie 1-3 z 3
    Tytuł:
    Estimating the parameter of inequality aversion on the basis of a parametric distribution of incomes
    Autorzy:
    Kot, Stanislaw Maciej
    Powiązania:
    https://bibliotekanauki.pl/articles/22444415.pdf
    Data publikacji:
    2020
    Wydawca:
    Instytut Badań Gospodarczych
    Tematy:
    income inequality
    inequality aversion
    estimation
    income distribution
    Opis:
    Research background: In applied welfare economics, the constant relative inequality aversion function is routinely used as the model of a social decisionmaker?s or a society?s preferences over income distributions. This function is entirely determined by the parameter, ?, of inequality aversion. However, there is no authoritative answer to the question of what the range of ? an analyst should select for empirical work. Purpose of the article: The aim of this paper is elaborating the method of deriving ? from a parametric distribution of disposable incomes. Methods: We assume that households? disposable incomes obey the generalised beta distribution of the second kind GB2(a,b,p,q). We have proved that, under this assumption, the social welfare function exists if and only if ? belongs to (0,ap+1) interval. The midpoint ?mid of this interval specifies the inequality aversion of the median social-decisionmaker. Findings & Value added: The maximum likelihood estimator of ?mid has been developed. Inequality aversion for Poland 1998?2015 has been estimated. If inequality is calculated on the basis of disposable incomes, the standard inequality?development relationship might be complemented by inequality aversion. The ?augmented? inequality?development relationship reveals new phenomena; for instance, the stage of economic development might matter when assessing the impact of inequality aversion on income inequality.
    Źródło:
    Equilibrium. Quarterly Journal of Economics and Economic Policy; 2020, 15, 3; 391-417
    1689-765X
    2353-3293
    Pojawia się w:
    Equilibrium. Quarterly Journal of Economics and Economic Policy
    Dostawca treści:
    Biblioteka Nauki
    Artykuł
    Tytuł:
    Two-component structure of household income distributions in Poland
    Autorzy:
    Łukasiewicz, Piotr
    Karpio, Krzysztof
    Orłowski, Arkadiusz
    Powiązania:
    https://bibliotekanauki.pl/articles/22446533.pdf
    Data publikacji:
    2018
    Wydawca:
    Instytut Badań Gospodarczych
    Tematy:
    income distribution
    Pareto model
    power law
    Opis:
    Research background: Studies of the structures of the income distributions have been performed for about 15 years. They indicate that there is no model which describes the distributions in their whole range. This effect is explained by the existence of different mechanisms yielding to low-medium and high incomes. While more than 97% of the distributions can be described by exponential or log-normal models, high incomes (about 3% or less) are in agreement with the power law. Purpose of the article: The aim of this paper is an analysis of the structure of the household income distributions in Poland. We verify the hypothesis about two-part structure of those distributions by using log-normal and Pareto models. Methods: The studies are based on the households? budgets microdata for years 2004?2012. The two-component models are used to describe the income distributions. The major parts of the distributions are described by the two parametric log-normal model. The highest incomes are described by the Pareto model. We also investigate the agreement with data of the more complex models, like Dagum, and Singh-Madalla. Findings & Value added: One has showed that two or three parametric models explain from about 95% to more than 99% of income distributions. The poorest agreement with data is for the log-normal model, while the best agreement has been obtained for the Dagum model. However, two-part model: log-normal for low-middle incomes and Pareto model for the highest incomes describes almost the whole range of income distributions very well.
    Źródło:
    Equilibrium. Quarterly Journal of Economics and Economic Policy; 2018, 13, 4; 603-622
    1689-765X
    2353-3293
    Pojawia się w:
    Equilibrium. Quarterly Journal of Economics and Economic Policy
    Dostawca treści:
    Biblioteka Nauki
    Artykuł
    Tytuł:
    The atlas of inequality aversion: theory and empirical evidence on 55 countries from the Luxembourg Income Study database
    Autorzy:
    Kot, Stanisław Maciej
    Paradowski, Piotr R.
    Powiązania:
    https://bibliotekanauki.pl/articles/22443170.pdf
    Data publikacji:
    2022
    Wydawca:
    Instytut Badań Gospodarczych
    Tematy:
    inequality aversion
    Atkinson Index
    income distribution
    inequality
    utility function
    Opis:
    Research background: In the distributive analysis, the constant relative inequality aversion utility function is a standard tool for ethical judgements of income distributions. The sole parameter ? of this function expresses a society?s aversion to inequality. However, the profession has not committed to the range of ?. When assessing inequality and other welfare characteristics, analysts assume an arbitrary level of ?, common to all countries and years. This assumption seems unjustified. Purpose of the article: This paper aims to estimate the parameter ? for each country and year individually using datasets from the Luxembourg Income Study Database in all available years, which dates back to the 1970s. Methods: We utilise the method of estimating ?, which assumes the generalised beta of the second kind distribution of incomes. The estimator of ? is derived from the mathematical condition of the existence of the social welfare function.  Findings & value added: We have elaborated an ?atlas? of  388 estimates of ? for 55 countries across time. Inequality aversion is country-year specific, with a minimum of 0.97 and a maximum of 3.8. Ninety per cent of all estimates are less than 2.5. Inequality aversion is negatively correlated with income inequality, but it is independent of economic development. Thus, inequality aversion appears as an additional dimension of the classical inequality-development relationship. This article contributes to solving a fundamental problem of Welfare Economics: directly measuring the social utility of income (welfare) function. The estimates of ? for 55 countries imply a complete knowledge of these countries' constant relative inequality aversion utility functions.
    Źródło:
    Equilibrium. Quarterly Journal of Economics and Economic Policy; 2022, 17, 2; 261-316
    1689-765X
    2353-3293
    Pojawia się w:
    Equilibrium. Quarterly Journal of Economics and Economic Policy
    Dostawca treści:
    Biblioteka Nauki
    Artykuł
      Wyświetlanie 1-3 z 3

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