logo
ResearchBunny Logo
A simple method for estimating the Lorenz curve

Economics

A simple method for estimating the Lorenz curve

T. Sitthiyot and K. Holasut

This paper unveils an innovative method for estimating the Lorenz curve using the Gini index and income shares, demonstrating effectiveness across diverse countries. Conducted by Thitithep Sitthiyot and Kanyarat Holasut, this research highlights a straightforward technique that circumvents traditional error minimization approaches, making it especially valuable for limited income distribution data.

00:00
00:00
Playback language: English
Abstract
This paper introduces a simple method for estimating the Lorenz curve using three indicators: the Gini index and the income shares of the bottom and top populations. The method calculates parameters for a specified functional form (a weighted average of an exponential function and a Pareto distribution) with a closed-form expression for the Gini index. The approach avoids error minimization techniques. Data from four countries with varying income inequality levels from the UNU-WIID database illustrate the method's effectiveness, showing that the estimated Lorenz curves closely fit actual observations. The method is particularly useful with limited income distribution data.
Publisher
Humanities and Social Sciences Communications
Published On
Authors
Thitithep Sitthiyot, Kanyarat Holasut
Tags
Lorenz curve
Gini index
income distribution
Pareto distribution
income inequality
data analysis
economic indicators

Related Publications

Explore these studies to deepen your understanding of the subject.

A method for gaining a deeper insight into the aroma profile of olive oil
Food Science and Technology

A method for gaining a deeper insight into the aroma profile of olive oil

D. Suzuki, Y. Sato, et al.

A novel VOC breath tracer method to evaluate indoor respiratory exposures in the near- and far-fields; implications for the spread of respiratory viruses
Health and Fitness

A novel VOC breath tracer method to evaluate indoor respiratory exposures in the near- and far-fields; implications for the spread of respiratory viruses

H. Parhizkar, M. Fretz, et al.

The euro area sovereign debt crisis and the sovereign debt Laffer curve: a historic assessment for 1999–2014
Economics

The euro area sovereign debt crisis and the sovereign debt Laffer curve: a historic assessment for 1999–2014

D. C. P. Bhimjee

A simple method for measuring inequality
Economics

A simple method for measuring inequality

T. Sitthiyot and K. Holasut

Listen, Learn & Level Up
Over 10,000 hours of research content in 25+ fields, available in 12+ languages.
No more digging through PDFs, just hit play and absorb the world's latest research in your language, on your time.
listen to research audio papers with researchbunny