acid (version 1.1)

gini.den: Gini Coefficient for an Income Distribution

Description

This function approximates the Gini coefficient for a distribution specified by a vector of densities and a corresponding income vector. A point mass at zero is allowed.

Usage

gini.den(incs, dens, pm0 = NA, 
lower = NULL, upper = NULL)

Arguments

incs

a vector with sorted income values.

dens

a vector with the corresponding densities.

pm0

the point mass for zero incomes. If not specified no point mass is assumed.

lower

the lower bound of the income range considered.

upper

the upper bound of the income range considered.

Value

Gini

the approximation of the Gini coefficient.

pm0

the point mass for zero incomes used.

lower

the lower bound of the income range considered used.

upper

the upper bound of the income range considered used.

References

Cowell, F.A. (2000): Measurement of Inequality, in: Atkinson and Bourguignon (eds.), Handbook of Income Distribution, pp. 1-86, Elsevier, Amsterdam.

See Also

weighted.gini

Examples

mu<-2
sigma<-1
incs<-c(seq(0,500,by=0.01),seq(501,50000,by=1))
dens<-dLOGNO(incs,mu,sigma)
plot(incs,dens,type="l",xlim=c(0,100))
gini.den(incs=incs,dens=dens)$Gini
gini(rLOGNO(5000000,mu,sigma))$Gini
2*pnorm(sigma/sqrt(2))-1 #theoretical Gini