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ADECOMP: Stata module to estimate Shapley Decomposition by Components of a Welfare Measure

João Pedro Azevedo, Minh Nguyen and Viviane Sanfelice ()

Statistical Software Components from Boston College Department of Economics

Abstract: adecomp implements the Shapley decomposition of changes in a welfare indicator as proposed by Azevedo, Sanfelice and Nguyen (2012). Following Barros et al. (2006), this method takes advantage of the additivity property of a welfare aggregate to construct a counterfactual unconditional distribution of the welfare aggregate by changing each component at a time to calculate their contribution to the observed changes in poverty, inequality and the growth incidence curve. This method can be applied in the context of both repeated cross-section surveys and longitudinal surveys, however the interpretation of the results will change as discussed by Azevedo, Sanfelice and Nguyen (2012).

Language: Stata
Requires: Stata version 12
Keywords: Shapley decomposition; welfare measure; panel data; repeated measures (search for similar items in EconPapers)
Date: 2012-12-09, Revised 2019-01-12
Note: This module should be installed from within Stata by typing "ssc install adecomp". The module is made available under terms of the GPL v3 ( Windows users should not attempt to download these files with a web browser.
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