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Stratification and between-group inequality: a new approach to measurement

Maria Monti and Alessandro Santoro

MPRA Paper from University Library of Munich, Germany

Abstract: Traditionally, the literature has seen stratification as linked closely to within-group inequality. More recently, some papers have focused on measuring the impact of stratification on betweengroup inequality. In this paper, we show that when two groups are involved, such an impact can be measured by a simple comparison of the two cumulative distribution functions. This approach allows an interpretation of stratification in terms of probabilities and paves the way for a neat and simple graphical illustration. We apply it to the analysis of between-continent inequality.

Keywords: between-group inequality; Gini index decomposition; stratification; transvariations. (search for similar items in EconPapers)
JEL-codes: D31 (search for similar items in EconPapers)
Date: 2010-01
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