Applying Generalized Pareto Curves to Inequality Analysis

Thomas Blanchet, Bertrand Garbinti, Jonathan Goupille-Lebret and Clara Martínez-Toledano (c.martinez-toledano@imperial.ac.uk)
Additional contact information
Clara Martínez-Toledano: PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique

PSE-Ecole d'économie de Paris (Postprint) from HAL

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.

Date: 2018
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-01902598v1
References: View complete reference list from CitEc
Citations: View citations in EconPapers (14)

Published in American Economic Review Papers and Proceedings, 2018, 108, pp.114-118. ⟨10.1257/pandp.20181075⟩

Downloads: (external link)
https://shs.hal.science/halshs-01902598v1/document (application/pdf)

Related works:
Journal Article: 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:hal:pseptp:halshs-01902598

DOI: 10.1257/pandp.20181075

Access Statistics for this paper

More papers in PSE-Ecole d'économie de Paris (Postprint) from HAL
Bibliographic data for series maintained by Caroline Bauer (bauer@pse.ens.fr).