Statistical Inference for Lorenz Curves with Censored Data
Frank A Cowell,
Paper No' DARP 035:
Tags: lorenz curve; sampling errors
Lorenz curves and associated tools for ranking income distributions are commonly estimated on the assumption that full, unbiased samples are available. However, it is common to find income and wealth distributions that are routinely censored or trimmed. We derive the sampling distribution for a key family of statistics in the case where data have been modified in this fashion.