Interactive Poverty and Affluence of a Society : Change - Point Models for Structuraj

Sumnary For any society or community, there is ample room for a prismatic view of its ~ome ~tnibution. Conventional measures of income (di¢~butionatl ~nequatitieh, such as the G~~ coe66~clent, may not depict a realistic picture accross the individual sectors of an income distributional spectrum. Stratification into poon, middle cea6~ and a66tuent sectors generally provides a better understanding of the socia-economic intricacies of such income distributional inequalities. Combining such component measures into a single index requires careful statistical considerations and entails a detailed analysis of the entire income distributional data. Economic ~tnuctunat changeh may occur within each of these sectors and in plausibly rather diverse directions , so that the usual linean mod~ may fail to be very appropriate for a composite analysis. A formulation of a change-point model in the setup of co~tancy 06 negneh~~on ~un6aceh is therefore incorporated in the development of methodolgy for studying structural changes for such income distributions. Proper emphasis is placed on nonpanametnic as well as nob~tneh~ co~~d~o~ underlying such nonstandard analysis. Such considerations also playa vital role in 60ne~~g of economic structural changes with respect to some income inequalities.