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Non-Hierarchical Bivariate Decomposition of Theil Indexes

Kam Ki Tang () and Dennis Petrie ()

Economics Bulletin, 2009, vol. 29, issue 2, 918-927

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.

JEL-codes: D3 D6 (search for similar items in EconPapers)
Date: 2009-05-09
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Working Paper: Non-Hierarchical Bivariate Decomposition of Theil Indexes (2007) Downloads
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