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On Egghe's version of continuous concentration theory

✍ Scribed by Quentin L. Burrell

Publisher
John Wiley and Sons
Year
2006
Tongue
English
Weight
248 KB
Volume
57
Category
Article
ISSN
1532-2882

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✦ Synopsis

Abstract

In a recent article, Egghe (2005) discussed what he terms Lorenz concentration theory, covering the Lorenz curve and concentration measures such as the coefficient of variation and the Theil and Gini coefficients. In this note, we point out that neither the curve construction nor the concentration measures conform to the standard statistical/econometric definitions. We here give the standard formulations and apply them to the (truncated) Pareto distributions that are the subject of Egghe's (2005) article. We also interpret Egghe's usage.

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