Individual Income Inequality and Its Drivers in Indonesia: A Theil Decomposition Reassessment

Volume: 126, Issue: 1, Pages: 79 - 98
Published: Feb 7, 2015
Abstract
This article employs a Theil decomposition analysis to examine various dimensions of income inequality, using the 2007 Indonesian Family Life Survey. The empirical strategy is based on the individual-level income data—instead of group means as in the existing literature—and thus accounts for within-group dispersion of individual incomes. The decomposition exercise reveals that income inequality across education levels constitutes about 13 % of...
Paper Details
Title
Individual Income Inequality and Its Drivers in Indonesia: A Theil Decomposition Reassessment
Published Date
Feb 7, 2015
Volume
126
Issue
1
Pages
79 - 98
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