### Friday, February 24, 2006

## st: Re: inequality indices, and decomposition by population subgroups

Many thanks to those who have answered to my question. I really appreciate your advice.

Best regards Yukimitsu Nishimura ----- Original Message ----- From: "Stephen P. Jenkins" <stephenj@essex.ac.uk> To: <statalist@hsphsun2.harvard.edu> Sent: Thursday, February 23, 2006 6:58 PM Subject: st: inequality indices, and decomposition by population subgroups

> of logarithms >> >>I'm guessing you want -ineqdeco- but try -findit inequality- to see >>more options. >> >>>On 2/22/06, $B@>B<!!9,K~(B <nishimura-yukimitsu@ipss.go.jp> wrote: >>> Statalist members, >>> >>> I am looking for a stata module to compute variance of logarithms on >>> personal income.and to compute this inequality decompositions by > subgroups. >>> Or please show me how to do. >>> >>> Yukimitsu Nishimura > > > Thanks for the plug, Austin. I am fairly confident in recommending > -indecdeco- to Yukimitsu Nishimura (and others) for inequality index > calculations with decompositions by population subgroup -- that is what > it is designed to do. Moreover, note that the variance of logarithms is > usually deprecated as an inequality measure because it does not always > satisfy the 'principle of transfers' axiom. (Contrast this with the > generalised entropy class of measures, which both satisfies the axioms > and is additively decomposable by population subgroup. See the > references in the help file to -ineqdeco-. NB -ineqdeco- assumes all > values are positive. If you wish to avoid this and allow zero values to > be included, use -ineqdec0-. Both programs available via -ssc-.) > > I note that many labour economists persist in using the variance of > logarithms measure, despite what the inequality measurement literature > recommends! (Perhaps because labour economists typically estimate > log(wage) equations.) > >>Date: Wed, 22 Feb 2006 09:41:29 -0300 (ART) >>From: <irodriguez@utdt.edu> >>Subject: Re: st: RE: Re: Help with Ineqdeco > >>I`m new and I don`t know what command ineqdeco do. But if someone are >>looking a program for the gini I`ve one > > As others have recommended, use Stata tools to discover what particular > programs do, and to find programs that do particular tasks. -findit > <keyword> - is your friend! So too is -search- > > For inequality measurement, there are a number of programs available, > including -ineqdeco-, -ineqdec0-, and some nice programs by Philippe Van > Kerm. For poverty measurement, with decompositions, see e.g. -povdeco-. > > Philippe Van Kerm and I have also written -glcurve- for plotting > (generalised) Lorenz curves and related graphs (e.g. TIP curves, > concentration curves, etc.) > > If you wish to compute standard errors for the estimates ("variance > estimation), you might take a bootstrap approach (some Stata programs > are available). But if you have weighted data, there are some > potentially unresolved issues I think. > > Alternatively one can use a linearisation approach. -svygei- and > -svyatk- (-ssc desc svygei_svyatk-) can be used for generalised entropy > and Atkinson indices. (With the subpop() option, you can get estimates > for subgroups too.) For the Gini coefficient and for the Lorenz curve, > use -svylorenz- (also on SSC). Each of the programs cited allows for > complex survey designs. [Another different approach to variance > estimation for the Gini coefficient is taken by Roger Newson's -somersd- > program, and explained in its accompanying documentation. IMHO > -svylorenz- gets there more directly.] > > > Stephen > ------------------------------------------------------------- > Professor Stephen P. Jenkins <stephenj@essex.ac.uk> > Institute for Social and Economic Research > University of Essex, Colchester CO4 3SQ, U.K. > Tel: +44 1206 873374. Fax: +44 1206 873151. > http://www.iser.essex.ac.uk > Survival Analysis using Stata: > http://www.iser.essex.ac.uk/teaching/degree/stephenj/ec968/ > > > > * > * For searches and help try: > * http://www.stata.com/support/faqs/res/findit.html > * http://www.stata.com/support/statalist/faq > * http://www.ats.ucla.edu/stat/stata/

* * For searches and help try: * http://www.stata.com/support/faqs/res/findit.html * http://www.stata.com/support/statalist/faq * http://www.ats.ucla.edu/stat/stata/

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