An elementary characterization of the Gini index

Sanchez-Perez, Joss and Plata-Perez, Leobardo and Sanchez-Sanchez, Francisco (2012): An elementary characterization of the Gini index.

Abstract

The Gini coefficient or index is perhaps one of the most used indicators of social and economic conditions. In this paper we characterize the Gini index as the unique function that satisfies the properties of scale invariance, symmetry, proportionality and convexity in similar rankings. Furthermore, we discuss a simpler way to compute it.

• Item Type: MPRA Paper
• Language: English
• Keywords: Gini index, income inequality, axiomatization
• Subjects: D - Microeconomics > D6 - Welfare Economics > D63 - Equity, Justice, Inequality, and Other Normative Criteria and Measurement; D - Microeconomics > D3 - Distribution > D31 - Personal Income, Wealth, and Their Distributions; I - Health, Education, and Welfare > I3 - Welfare, Well-Being, and Poverty > I31 - General Welfare, Well-Being

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