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Inequality measurement for ordered response health data

Ramses Abul Naga and Tarik Yalcin

Journal of Health Economics, 2008, vol. 27, issue 6, 1614-1625

Abstract: Because self-reported health status [SRHS] is an ordered response variable, inequality measurement for SRHS data requires a numerical scale for converting individual responses into a summary statistic. The choice of scale is however problematic, since small variations in the numerical scale may reverse the ordering of a given pair of distributions of SRHS data in relation to conventional inequality indices such as the variance. This paper introduces a parametric family of inequality indices, founded on an inequality ordering proposed by Allison and Foster [Allison, R.A., Foster, J., 2004. Measuring health inequalities using qualitative data. Journal of Health Economics 23, 505-524], which satisfy a suitable invariance property with respect to the choice of numerical scale. Several key members of the parametric family are also derived, and an empirical application using data from the Swiss Health Survey illustrates the proposed methodology.

Keywords: Self-reported; health; status; Inequality; orderings; Inequality; measures (search for similar items in EconPapers)
Date: 2008
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Citations: View citations in EconPapers (127)

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Working Paper: Inequality Measurement forOrdered Response Health Data (2007) Downloads
Working Paper: Inequality measurement for ordered response health data (2007) Downloads
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Journal of Health Economics is currently edited by J. P. Newhouse, A. J. Culyer, R. Frank, K. Claxton and T. McGuire

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