Measuring polarization, inequality, welfare and poverty

Juan Rodríguez

No E2004/75, Economic Working Papers at Centro de Estudios Andaluces from Centro de Estudios Andaluces

Abstract: This paper analyzes the relationship between polarization and inequality, welfare and poverty measures. First, the Wolfson polarization measure is generalized in terms of the between-groups and within-groups Gini components for income groups separated by any z income value. Second, it is shown that polarization is the difference between the welfare levels of rich and poor income groups when feelings of identification between individuals are based on their utility functions. Third, the proposed polarization measure is a function of the Sen poverty index, its extension due to Shorrocks (1995) and the normalized poverty deficit index when the z income value represents the poverty line. In addition, these results are linked to the Esteban and Ray (1994) and Esteban et al. (1999) polarization measures.

Keywords: polarization; inequality; welfare; poverty. (search for similar items in EconPapers)
JEL-codes: D39 D63 H30 (search for similar items in EconPapers)
Pages: 33 pages
Date: 2004
New Economics Papers: this item is included in nep-ltv and nep-mic
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Citations: View citations in EconPapers (5)

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Related works:
Working Paper: Measuring Bipolarization, Inequality, Welfare and Poverty (2006)
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Persistent link: https://EconPapers.repec.org/RePEc:cea:doctra:e2004_75

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