A hybrid method for creating Lorenz curves

Zuxiang Wang, Russell Leigh Smyth

Research output: Contribution to journalArticleResearchpeer-review

8 Citations (Scopus)

Abstract

We first suggest a bi-parametric Lorenz curve and then analyze the curvature structure of the function. We then build a series of single-parameter Lorenz curves with varied curvatures, which are special cases of the rational function. A hybrid method is then introduced for creating efficient functional models for the Lorenz curve from the single-parameter functional forms. Using grouped income distribution data for the United States, we find that our proposed models perform well.
Original languageEnglish
Pages (from-to)59 - 63
Number of pages5
JournalEconomics Letters
Volume133
DOIs
Publication statusPublished - 2015

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