IDEAS home Printed from https://ideas.repec.org/a/spr/joecin/v18y2020i1d10.1007_s10888-019-09428-4.html
   My bibliography  Save this article

Losing ground in the income hierarchy: relative deprivation revisited

Author

Listed:
  • Walter Bossert

    (University of Montreal)

  • Conchita D’Ambrosio

    (University of Luxembourg)

Abstract

The paper discusses a one-parameter generalization of individual relative deprivation measures to a two-period setting that differs from earlier approaches. The parameter is, by definition, independent of the income distributions under consideration—it is to be chosen by a social planner. Its value has an intuitive interpretation: it represents the additional weight assigned to the income shortfalls associated with agents who passed the individual in question when moving from yesterday’s income distribution to today’s. Therefore, the choice of this parameter represents an important value judgment on the part of a social planner regarding the relative impact of being left behind. As a special case, it is illustrated how the well-known Yitzhaki index can be extended to this environment. Journal of Economic Literature Classification No.: D63.

Suggested Citation

  • Walter Bossert & Conchita D’Ambrosio, 2020. "Losing ground in the income hierarchy: relative deprivation revisited," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 18(1), pages 1-12, March.
    • Handle: RePEc:spr:joecin:v:18:y:2020:i:1:d:10.1007_s10888-019-09428-4
    DOI: 10.1007/s10888-019-09428-4
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10888-019-09428-4
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s10888-019-09428-4?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Paul, Satya, 1991. "An index of relative deprivation," Economics Letters, Elsevier, vol. 36(3), pages 337-341.
    2. Satya R. Chakravarty & Patrick Moyes, 2003. "Individual welfare, social deprivation and income taxation," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 21(4), pages 843-869, June.
    3. Hirschman, Albert O., 1973. "The changing tolerance for income inequality in the course of economic development," World Development, Elsevier, vol. 1(12), pages 29-36, December.
    4. Bossert, Walter & D’Ambrosio, Conchita, 2014. "Proximity-sensitive individual deprivation measures," Economics Letters, Elsevier, vol. 122(2), pages 125-128.
    5. Conchita D'Ambrosio & Joachim R. Frick, 2012. "Individual Wellbeing in a Dynamic Perspective," Economica, London School of Economics and Political Science, vol. 79(314), pages 284-302, April.
    6. Lucio Esposito, 2010. "Upper Boundedness For The Measurement Of Relative Deprivation," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 56(3), pages 632-639, September.
    7. Weymark, John A., 1981. "Generalized gini inequality indices," Mathematical Social Sciences, Elsevier, vol. 1(4), pages 409-430, August.
    8. Nripesh Podder, 1996. "Relative Deprivation, Envy and Economic Inequality," Kyklos, Wiley Blackwell, vol. 49(3), pages 353-376, August.
    9. Stark, Oded & Bielawski, Jakub & Falniowski, Fryderyk, 2017. "A class of proximity-sensitive measures of relative deprivation," Economics Letters, Elsevier, vol. 160(C), pages 105-110.
    10. Jean-Yves Duclos, 2000. "Gini Indices and the Redistribution of Income," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 7(2), pages 141-162, March.
    11. Anthony B Atkinson & François Bourguignon, 2014. "Handbook of Income Distribution," PSE-Ecole d'économie de Paris (Postprint) halshs-02923231, HAL.
    12. Bossert, Walter & D'Ambrosio, Conchita, 2006. "Reference groups and individual deprivation," Economics Letters, Elsevier, vol. 90(3), pages 421-426, March.
    13. Shlomo Yitzhaki, 1979. "Relative Deprivation and the Gini Coefficient," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 93(2), pages 321-324.
    14. Albert O. Hirschman & Michael Rothschild, 1973. "The Changing Tolerance for Income Inequality in the Course of Economic DevelopmentWith A Mathematical Appendix," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 87(4), pages 544-566.
    15. Kakwani, Nanak, 1984. "The Relative Deprivation Curve and Its Applications," Journal of Business & Economic Statistics, American Statistical Association, vol. 2(4), pages 384-394, October.
    16. Chakravarty, S. R. & Chakraborty, A. B., 1984. "On indices of relative deprivation," Economics Letters, Elsevier, vol. 14(2-3), pages 283-287.
    17. Walter Bossert & Conchita D’Ambrosio, 2007. "Dynamic Measures of Individual Deprivation," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 28(1), pages 77-88, January.
    18. repec:bla:kyklos:v:49:y:1996:i:3:p:353-76 is not listed on IDEAS
    19. Donaldson, David & Weymark, John A., 1980. "A single-parameter generalization of the Gini indices of inequality," Journal of Economic Theory, Elsevier, vol. 22(1), pages 67-86, February.
    20. Kakwani, Nanak, 1984. "The Relative Deprivation Curve and Its Applications: Reply," Journal of Business & Economic Statistics, American Statistical Association, vol. 2(4), pages 400-405, October.
    21. Shlomo Yitzhaki, 1980. "Relative Deprivation and the Gini Coefficient: Reply," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 95(3), pages 575-576.
    22. John D. Hey & Peter J. Lambert, 1980. "Relative Deprivation and the Gini Coefficient: Comment," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 95(3), pages 567-573.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jinyu Pan & Zhenzhi Yang, 2023. "Knowledge mapping of relative deprivation theory and its applicability in tourism research," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-12, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Bossert, Walter & D’Ambrosio, Conchita, 2014. "Proximity-sensitive individual deprivation measures," Economics Letters, Elsevier, vol. 122(2), pages 125-128.
    2. Edward Anderson & Lucio Esposito, 2014. "On the joint evaluation of absolute and relative deprivation," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 12(3), pages 411-428, September.
    3. Walter Bossert & Conchita D’Ambrosio, 2007. "Dynamic Measures of Individual Deprivation," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 28(1), pages 77-88, January.
    4. Satya Chakravarty, 2007. "A deprivation-based axiomatic characterization of the absolute Bonferroni index of inequality," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 5(3), pages 339-351, December.
    5. Ana I. Moro Egido, 2021. "Social Comparisons; the behavioural component," ThE Papers 21/04, Department of Economic Theory and Economic History of the University of Granada..
    6. Amany A. El Anshasy & Mrittika Shamsuddin & Marina-Selini Katsaiti, 2023. "Financial Wellbeing and International Migration Intentions: Evidence from Global Surveys," Journal of Happiness Studies, Springer, vol. 24(7), pages 2261-2289, October.
    7. Elena Bárcena-Martín & Alexandra Cortés-Aguilar & Ana I. Moro-Egido, 2017. "Social Comparisons on Subjective Well-Being: The Role of Social and Cultural Capital," Journal of Happiness Studies, Springer, vol. 18(4), pages 1121-1145, August.
    8. Gero, Krisztina & Yazawa, Aki & Kondo, Naoki & Hanazato, Masamichi & Kondo, Katsunori & Kawachi, Ichiro, 2022. "Comparison of three indices of relative income deprivation in predicting health status," Social Science & Medicine, Elsevier, vol. 294(C).
    9. Stark, Oded & Bielawski, Jakub & Falniowski, Fryderyk, 2017. "A class of proximity-sensitive measures of relative deprivation," Economics Letters, Elsevier, vol. 160(C), pages 105-110.
    10. Lucio Esposito, 2010. "Upper Boundedness For The Measurement Of Relative Deprivation," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 56(3), pages 632-639, September.
    11. Elena Bárcena-Martín & Luis Imedio-Olmedo & Guillermina Martín-Reyes, 2007. "Inequality and deprivation within and between groups: An illustration of European union countries," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 5(3), pages 323-337, December.
    12. Labeaga, José M. & Molina, José Alberto & Navarro Paniagua, Maria, 2007. "Income Satisfaction and Deprivation in Spain," IZA Discussion Papers 2702, Institute of Labor Economics (IZA).
    13. Paolo Verme, 2010. "Relative labour deprivation and urban migration in Turkey," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 8(4), pages 391-408, December.
    14. Alain Chateauneuf & Patrick Moyes, 2002. "Measuring inequality without the Pigou-Dalton condition," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-00156475, HAL.
    15. Alain Chateauneuf & Patrick Moyes, 2005. "Lorenz non-consistent welfare and inequality measurement," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 2(2), pages 61-87, January.
    16. Patrick Moyes, 2007. "An extended Gini approach to inequality measurement," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 5(3), pages 279-303, December.
    17. Elena Bárcena-Martín & Cortés Aguilar Alexandra & Ana I. Moro Egido, 2013. "The role of proximity and social comparisons on subjective well-being," ThE Papers 13/10, Department of Economic Theory and Economic History of the University of Granada..
    18. Silber, Jacques & Verme, Paolo, 2012. "Relative deprivation, reference groups and the assessment of standard of living," Economic Systems, Elsevier, vol. 36(1), pages 31-45.
    19. Clark, Andrew E. & D'Ambrosio, Conchita, 2014. "Attitudes to Income Inequality: Experimental and Survey Evidence," IZA Discussion Papers 8136, Institute of Labor Economics (IZA).
    20. D'Ambrosio, Conchita & Frick, Joachim R., 2004. "Subjective Well-Being and Relative Deprivation: An Empirical Link," IZA Discussion Papers 1351, Institute of Labor Economics (IZA).

    More about this item

    Keywords

    Relative deprivation; Equity; Individual Well-Being;
    All these keywords.

    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:joecin:v:18:y:2020:i:1:d:10.1007_s10888-019-09428-4. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.