Using the GB2 income distribution: a review

Duangkamon Chotikapanich, William E Griffiths, Gholamreza Hajargasht, Wasana Karunarathne, D S Prasada Rao

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5 Citations (Scopus)

Abstract

To use the generalized beta distribution of the second kind (GB2) for the analysis of income and other positively skewed distributions, knowledge of estimation methods and the ability to compute quantities of interest from the estimated parameters are required. We review estimation methodology that has appeared in the literature, and summarize expressions for inequality, poverty, and pro-poor growth that can be used to compute these measures from GB2 parameter estimates. An application to data from China and Indonesia is provided.

Original languageEnglish
Article number21
Number of pages24
JournalEconometrics
Volume6
Issue number2
DOIs
Publication statusPublished - Jun 2018

Keywords

  • inequality
  • poverty
  • pro-poor growth
  • GMM estimation

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