The Atkinson measure (after Anthony Atkinson (*1944)) a measure for the income inequality is in a society. With maximum inequality it is 1, with maximum equality 0. Basis for the measurement of the inequality is a welfare function, by which it is accepted that 1 euro donates more with high income less additional welfare than with low income. As strongly the Atkinson measure reacted to inequalities is determined by at the basis put welfare function. A Arrow Wohlfahrtsfunktion is used, which specifies Epsilon by a parameter, how large the welfare difference of an additional Euros between a person with a high and a low income is. By this parameter Epsilon specified like sensitiv the Atkinson measure to income inequalities one reacts. The larger Epsilon is, the more strongly reacts the Atkinson measure to inequality. For the interpretation of the yardstick the parameter Epsylon must be indicated as.

Literature

Original essay:

• ATKINSON, A.B. (1970): On the Measurement OF Inequality, in: Journal OF Economic Theory, Bd. 2 (3), P. 244-263.

To the recess:

• AMIEL, Y. /COWELL, F.A. (1999): Thinking about inequality, Cambridge.
• COWELL, F.A. (2000): Measurement OF Inequality, in: Atkinson, A.B./Bourguignon, F. (Hrsg.): Handbook OF Income distribution, Bd. 1, Amsterdam et al., P. 87-166.

Articles in category "Atkinson measure"

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