Description: The PaF income polarization index as proposed by Duclos, Esteban, and Ray. (2004). The index may be computed for a single or for a range of values of the \(\alpha\)-parameter and bootstrapping is also available. In all cases, we first divide the data by \(\mu^{1-\alpha}\), where \(\mu\) is the mean (income), as described in Duclos, Esteban and Ray (2004). If you want to make the index comparable to the Gini index you should divide the alienation component (and the paf eventually) by 2.
Michail Tsagris and Christos Adam.
Michail Tsagris <mtsagris@uoc.gr>.
| Package: | DER |
| Type: | Package |
| Version: | 1.2 |
| Date: | 2025-11-12 |
Duclos J. Y., Esteban, J. and Ray D. (2004). Polarization: concepts, measurement, estimation. Econometrica, 72(6): 1737--1772.