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Policy impacts on inequality: Decomposition of Income Inequality by Subgroups 










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    Policy Impacts on Inequality: Welfare Based Measures of Inequality - The Atkinson Index  2005
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    This tool illustrates one of the most popular welfare-based measures of inequality, the Atkinson Index. In particular, it discusses the foundations of this Index, in terms of social welfare specifications, and the concept of equally distributed equivalent income on which the measure is based. The use of this measure is then exemplified in a step-by step procedure and in a numerical example.
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    Policy Impacts on Inequality: Inequality and Axioms for its Measurement  2006
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    This tool illustrates the concept of desirable properties any inequality index should respect. In particular, it introduces the distinction between a positive and a normative approach to inequality analysis. Then, it discusses the role of axioms in inequality measurement and their conceptual meaning. Finally, using the Gini Index and the variance, a step-by-step procedure and numerical examples are introduced for operational purposes.
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    Policy impacts on inequality: Decomposing Inequality by Source   2006
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    This tool illustrates how to decompose inequality measures by income sources. In particular, it discusses this decomposition in the context of the Gini and the Theil Indexes. A step-by-step procedure and numerical examples give operational content to the tool.

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