Inequality foundations of concentration measuresAn application to the Hannah-Kay indices

  1. Rafael Salas 1
  2. Bajo Rubio, Oscar
  1. 1 Universidad Complutense de Madrid
    info

    Universidad Complutense de Madrid

    Madrid, España

    ROR 02p0gd045

Revista:
Spanish economic review

ISSN: 1435-5469

Año de publicación: 2002

Volumen: 4

Número: 4

Páginas: 311-316

Tipo: Artículo

DOI: 10.1007/S101080200053 DIALNET GOOGLE SCHOLAR lock_openAcceso abierto editor

Otras publicaciones en: Spanish economic review

Resumen

Abstract. The aim of this paper is to provide a connection between concentration and inequality. In particular, we show that the general entropy inequality indices are, among inequality measures, those consistent with the whole set of Hannah-Kay concentration indices. We isolate the inequality component underlying concentration measures, obtaining an explicit additive decomposition of the change in concentration into the change in its two components, i.e., inequality and the number of firms. This relationship proves to be valid for the whole set of Hannah-Kay concentration indices, and embodies as particular cases some others previously found in the literature.

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