Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/18061
Authors: 
D'Ambrosio, Conchita
Muliere, Pietro
Secchi, Piercesare
Year of Publication: 
2003
Series/Report no.: 
DIW Discussion Papers 325
Abstract: 
This paper proposes a method for detecting income classes based on the change-point problem. There is an increasing demand for such a method in the literature. Computation of polarization indices requires a pre-grouping of the incomes. Similarly, indices of social exclusion and sometimes indices of income inequality require detection of thresholds. The estimation procedure is implemented using a bootstrap technique. Finally, an application of the method to EU member states and to the United States is also considered.
Subjects: 
income distribution
change-point
thresholds
JEL: 
D31
Document Type: 
Working Paper

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