Events and Meetings of Italian Statistical Society, Statistics and Demography: the Legacy of Corrado Gini

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A class of income polarization measures based on the Gini index
Chiara Gigliarano, Daniel Nowak, Karl Mosler

Last modified: 2015-09-05

Abstract


The well-known index of income bi-polarization proposed by Wolfson (1994) assumes that the population is split in two groups  around the median income; therefore, the groups' income distributions are non-overlapping. The aim of this article is to propose a class of polarization measures that  extend the Wolfson index by allowing for any possible partition of the population in two or more (also overlapping) groups. The main properties satisfied by this class of indices are also discussed.

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