Single Crossing Lorenz Curves and Inequality Comparisons

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Date

2004

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info:eu-repo/semantics/altIdentifier/doi/10.1016/S0165-4896(03)00078-7

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info:eu-repo/semantics/OpenAccess




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Thibault Gajdos, « Single Crossing Lorenz Curves and Inequality Comparisons », HAL SHS (Sciences de l’Homme et de la Société), ID : 10.1016/S0165-4896(03


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Résumé En

Since the order generated by the Lorenz criterion is partial, it is a natural question to wonder how to extend this order. Most of the literature that is concerned with that question focuses on local changes in the income distribution. We follow a different approach, and define uniform $\alpha$-spreads, which are global changes in the income distribution. We give necessary and sufficient conditions for an Expected Utility or Rank-Dependent Expected Utility maximizer to respect the principle of transfers and to be favorable to uniform $\alpha$-spreads. Finally, we apply these results to inequality indices.

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