arXiv 4 Dec 2023 · Econometrics · publishedEconometric Reviews (2025)
arXiv:2312.02288 · PDF · DOI · OpenAlex · Extracted main text
This paper proposes a general framework for inference on three types of almost dominances: almost Lorenz dominance, almost inverse stochastic dominance, and almost stochastic dominance. We first generalize almost Lorenz dominance to almost upward and downward Lorenz dominances. We then provide a bootstrap inference procedure for the Lorenz dominance coefficients, which measure the degrees of almost Lorenz dominance. Furthermore, we propose almost upward and downward inverse stochastic dominances and provide inference on the inverse stochastic dominance coefficients. We also show that our results can easily be extended to almost stochastic dominance. Simulation studies demonstrate the finite sample properties of the proposed estimators and the bootstrap confidence intervals. This framework can be applied to economic analysis, particularly in the areas of social welfare, inequality, and decision making under uncertainty. As an empirical example, we apply the methods to the inequality growth in the United Kingdom and find evidence for almost upward inverse stochastic dominance.
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The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.
| Reference | Intensity | Mentions | Sections | Main text | |
|---|---|---|---|---|---|
| 1 | Aaberge, R (2009) Ranking intersecting Lorenz curves | 0.956 | 16 | 4 | 88% |
| 2 | Zheng, B (2018) Almost Lorenz dominance | 0.950 | 14 | 4 | 86% |
| 3 | Sun, Z. and Beare, B. K (2021) Improved nonparametric bootstrap tests of Lorenz dominance self | 0.944 | 19 | 6 | 84% |
| 4 | Barrett, G. F., Donald, S. G., and Bhattacharya, D (2014) Consistent nonparametric tests for Lorenz dominance | 0.874 | 9 | 3 | 67% |
| 5 | Fang, Z. and Santos, A (2019) Inference on directionally differentiable functions | 0.794 | 10 | 3 | 50% |
| 6 | Aaberge, R., Havnes, T., and Mogstad, M (2021) Ranking intersecting distribution functions | 0.766 | 20 | 4 | 45% |
| 7 | Aaberge, R (2001) Axiomatic characterization of the Gini coefficient and Lorenz curve orderings | 0.737 | 5 | 2 | 60% |
| 8 | Andrews, D. W (2000) Inconsistency of the bootstrap when a parameter is on the boundary of the parameter space | 0.644 | 2 | 2 | 100% |
| 9 | Bickel, P. J., Götze, F., and van Zwet, W. R (2012) Resampling fewer than $n$ observations: Gains, losses, and remedies for losses | 0.644 | 2 | 2 | 100% |
| 10 | Kaji, T (2019) Asymptotic theory of $L$-statistics and integrable empirical processes | 0.585 | 3 | 3 | 33% |
Showing the top 10 of 53 scored citations.