Bayesian Inference for Welfare Comparisons of Income Inequality and Poverty

The measurement and comparison of income inequality and poverty are essential for administering government policies and for government decision making. Bayesian statistics has the potential to provide unique and innovative methods for measuring inequality and poverty and for making comparisons over time, over different populations and before and after the introduction of new policies such as taxes. The project aim is to develop and apply Bayesian inference procedures along these lines. The expected outcome is an improved framework for answering questions about changes in inequality and poverty.