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

Monti, maria and Santoro, alessandro (2010): Stratification and between-group inequality: a new approach to measurement.

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.

• Item Type: MPRA Paper
• Language: English
• Keywords: between-group inequality, Gini index decomposition, stratification, transvariations.
• Subjects: D - Microeconomics > D3 - Distribution > D31 - Personal Income, Wealth, and Their Distributions

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