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st: Re: Re: gini from grouped data


From   "Stephen P. Jenkins" <stephenj@essex.ac.uk>
To   statalist@hsphsun2.harvard.edu
Subject   st: Re: Re: gini from grouped data
Date   Thu, 30 Jan 2003 12:04:53 +0000 (GMT Standard Time)

On Thu, 30 Jan 2003 05:49:14 -0600 Scott Merryman <smerryman@kc.rr.com> 
wrote:

> > ------------------------------
> >
> > Date: Tue, 28 Jan 2003 11:37:02 -0600
> > From: "Mito" <mito@decon.edu.uy>
> > Subject: st: gini from grouped data
> >
> > Dear friends,
> > is there an ado file for the estimation gini from grouped data?
> > thanks,
> > Maximo
> 
> 
> Dr. Martin Biewen has an ado file for the "Bootstrap for inequality
> decomposition by subgroup" avaiable at
> http://www.uni-heidelberg.de/institute/fak18/institutes/awi/ls_schmidt/cv_bie/st
> ata.html
> 
> It computes additive decompositions of MLD and Theil by subgroup and appropriate
> bootstrap confidence intervals.


IMHO Scott's suggestion is not what was originally asked for, namely a 
program for calculating inequality indices from grouped data (i.e. you 
know category boundaries and the numbers of obs with incomes falling 
within the categories, and maybe some category means). 
Martin's program, like my -ineqdeco-, uses micro-data (unit record 
data), allowing decompositions by /population/ subgroup.
As Philippe Van Kerm suggested, you can use any of the microdata 
inequality estimation programs around (his, mine, ...)  to calculate 
inequality measures from grouped data (using frequency weight options), 
at the cost of under-estimating inequality ... you will be assuming 
equality within income categories.
For a review of ways to do better, I recommend /Measuring Inequality/, 
second edition, by Frank A Cowell, and the references therein 
(including Cowell and Mehta, Review of Economic Studies, 1983?)

Stephen
----------------------
Professor Stephen P. Jenkins <stephenj@essex.ac.uk>
Institute for Social and Economic Research (ISER)
University of Essex, Colchester, CO4 3SQ, UK
Tel: +44 (0)1206 873374. Fax: +44 (0)1206 873151.
http://www.iser.essex.ac.uk

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