Applying Generalized Pareto Curves to Inequality Analysis

Thomas Blanchet, Bertrand Garbinti, Jonathan Goupille-Lebret and Clara Martínez-Toledano

AEA Papers and Proceedings, 2018, vol. 108, 114-18

Abstract: A generalized Pareto curve is defined as the curve of inverted Pareto coefficients b(p), where b(p) is the ratio between average income or wealth above rank p and the p-th quantile. We present this concept and show how it can be used to better estimate distributions, especially from tax tabulations. By providing a simple decomposition of top shares, we discuss how studying inverted Pareto coefficients can improve the understanding of inequality dynamics. We also show how it helps to better analyze wealth and income concentrations along the distribution, using data for France, Spain, the United States, and China.

JEL-codes: D31 D63 O15 P36 (search for similar items in EconPapers)
Date: 2018
Note: DOI: 10.1257/pandp.20181075
References: Add references at CitEc
Citations: View citations in EconPapers (19)

Downloads: (external link)
https://www.aeaweb.org/doi/10.1257/pandp.20181075 (application/pdf)
https://www.aeaweb.org/articles/attachments?retrie ... 8xz8mDVgNPpkZuhZ2buj (application/zip)
Access to full text is restricted to AEA members and institutional subscribers.

Related works:
Working Paper: Applying Generalized Pareto Curves to Inequality Analysis (2018)
Working Paper: Applying Generalized Pareto Curves to Inequality Analysis (2018)
Working Paper: Applying Generalized Pareto Curves to Inequality Analysis (2018)
Working Paper: Applying Generalized Pareto Curves to Inequality Analysis (2018)
Working Paper: Applying Generalized Pareto Curves to Inequality Analysis (2018)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:aea:apandp:v:108:y:2018:p:114-18

Ordering information: This journal article can be ordered from
https://www.aeaweb.org/subscribe.html

Access Statistics for this article

AEA Papers and Proceedings is currently edited by William Johnson and Kelly Markel

More articles in AEA Papers and Proceedings from American Economic Association Contact information at EDIRC.
Bibliographic data for series maintained by Michael P. Albert ().