Correcting the concentration index.

J Health Econ

Department of Economics, University of Antwerp, City Campus, Prinsstraat 13, 2000 Antwerpen, Belgium.

Published: March 2009

AI Article Synopsis

  • The Concentration Index, a popular measure of health inequality, has been criticized for its limitations in accurately reflecting socioeconomic disparities.
  • Some modifications have been proposed but have only addressed these issues partially.
  • This paper introduces a new, improved version of the Concentration Index that meets four essential criteria and can be further decomposed and generalized for better analysis.

Article Abstract

In recent years attention has been drawn to several shortcomings of the Concentration Index, a frequently used indicator of the socioeconomic inequality of health. Some modifications have been suggested, but these are only partial remedies. This paper proposes a corrected version of the Concentration Index which is superior to the original Concentration Index and its variants, in the sense that it is a rank-dependent indicator which satisfies four key requirements (transfer, level independence, cardinal invariance, and mirror). The paper also shows how the corrected Concentration Index can be decomposed and generalized.

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Source
http://dx.doi.org/10.1016/j.jhealeco.2008.02.003DOI Listing

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