On One Parameter Functional Forms for Lorenz Curves

Paul Thistle and John Formby

Eastern Economic Journal, 1988, vol. 14, issue 1, 81-85

Abstract: This paper shows that using a one-parameter functional form for the Lorenz curve is equivalent to ranking income distributions based on their Gini indices. Irrespective of the underlying data, the fitted Lorenz curves can never intersect. Circu mstances in which one-parameter Lorenz curves can safely be specified are identified and their policy relevance discussed.

Date: 1988
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