Estimation of the Gini coefficient based on two quantiles.

Based on the Palma proposition and the Lorenz fitting curve, this paper estimates the sample Gini coefficient using the income share of the top 10% and bottom 40% of the population. Empirical research shows that the absolute error between the estimated value and sample Gini coefficient is within a h...

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Main Authors: Pingsheng Dai, Sitong Shen
Format: Article
Language:English
Published: Public Library of Science (PLoS) 2025-01-01
Series:PLoS ONE
Online Access:https://doi.org/10.1371/journal.pone.0318833
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author Pingsheng Dai
Sitong Shen
author_facet Pingsheng Dai
Sitong Shen
author_sort Pingsheng Dai
collection DOAJ
description Based on the Palma proposition and the Lorenz fitting curve, this paper estimates the sample Gini coefficient using the income share of the top 10% and bottom 40% of the population. Empirical research shows that the absolute error between the estimated value and sample Gini coefficient is within a hundredth. Monte Carlo simulation shows that the new method has good performance and robustness for estimating Gini coefficients with different sample sizes and different inequality levels. Using the two quantiles in the deciles to estimate the sample Gini coefficient and the Lorenz fitting curve is a practical method.
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spelling doaj-art-bd857a079cda45708301859e09c8d9862025-08-20T02:16:13ZengPublic Library of Science (PLoS)PLoS ONE1932-62032025-01-01202e031883310.1371/journal.pone.0318833Estimation of the Gini coefficient based on two quantiles.Pingsheng DaiSitong ShenBased on the Palma proposition and the Lorenz fitting curve, this paper estimates the sample Gini coefficient using the income share of the top 10% and bottom 40% of the population. Empirical research shows that the absolute error between the estimated value and sample Gini coefficient is within a hundredth. Monte Carlo simulation shows that the new method has good performance and robustness for estimating Gini coefficients with different sample sizes and different inequality levels. Using the two quantiles in the deciles to estimate the sample Gini coefficient and the Lorenz fitting curve is a practical method.https://doi.org/10.1371/journal.pone.0318833
spellingShingle Pingsheng Dai
Sitong Shen
Estimation of the Gini coefficient based on two quantiles.
PLoS ONE
title Estimation of the Gini coefficient based on two quantiles.
title_full Estimation of the Gini coefficient based on two quantiles.
title_fullStr Estimation of the Gini coefficient based on two quantiles.
title_full_unstemmed Estimation of the Gini coefficient based on two quantiles.
title_short Estimation of the Gini coefficient based on two quantiles.
title_sort estimation of the gini coefficient based on two quantiles
url https://doi.org/10.1371/journal.pone.0318833
work_keys_str_mv AT pingshengdai estimationoftheginicoefficientbasedontwoquantiles
AT sitongshen estimationoftheginicoefficientbasedontwoquantiles