Non-hierarchical bivariate decomposition of Theil indexes

Kam Ki Tang, Dennis Petrie

    Research output: Working paperDiscussion paper

    Abstract

    This paper develops a method to conduct non hierarchical bivariate decomposition of Theil indexes. The method has the merits that, first, it treats all variates symmetrically and therefore facilitates the comparison of inequalities associated with different variates; and, second, it highlights the interaction between variates in the creation of inequality. The method is applied to measure gender and ethnic income inequality in Australia.
    Original languageEnglish
    PublisherCentre for Efficiency and Productivity Analysis
    Publication statusPublished - Jun 2007

    Publication series

    NameCentre for Efficiency and Productivity Analysis Working Paper Series
    PublisherCentre for Efficiency and Productivity Analysis
    ISSN (Print)1932-4398

    Keywords

    • Theil index
    • Hierarchical decomposition

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  • Cite this

    Tang, K. K., & Petrie, D. (2007). Non-hierarchical bivariate decomposition of Theil indexes. (Centre for Efficiency and Productivity Analysis Working Paper Series). Centre for Efficiency and Productivity Analysis. http://www.uq.edu.au/economics/cepa/wpapers.htm