Majorization and the Lorenz Order with Applications in Applied Mathematics and Economics

This book was written to serve as a graduate-level textbook for special topics classes in mathematics, statistics, and economics, to introduce these topics to other researchers, and for use in short courses. It is an introduction to the theory of majoriza

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Barry C. Arnold · José María Sarabia

Majorization and the Lorenz Order with Applications in Applied Mathematics and Economics

Statistics for Social and Behavioral Sciences Series Editor Stephen E. Fienberg (in memorium) Carnegie Mellon University, Pittsburgh, Pennsylvania, USA

More information about this series at http://www.springernature.com/series/3463

Barry C. Arnold • José María Sarabia

Majorization and the Lorenz Order with Applications in Applied Mathematics and Economics

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Barry C. Arnold Department of Statistics University of California Riverside, CA, USA

José María Sarabia Department of Economics University of Cantabria Santander, Spain

ISSN 2199-7357 ISSN 2199-7365 (electronic) Statistics for Social and Behavioral Sciences ISBN 978-3-319-93772-4 ISBN 978-3-319-93773-1 (eBook) https://doi.org/10.1007/978-3-319-93773-1 Library of Congress Control Number: 2018944630 © Springer International Publishing AG, part of Springer Nature 2018 This work is subject to copyright. All rights are reserved by the Publisher, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission or information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed. The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. The publisher, the authors, and the editors are safe to assume that the advice and information in this book are believed to be true and accurate at the date of publication. Neither the publisher nor the authors or the editors give a warranty, express or implied, with respect to the material contained herein or for any errors or omissions that may have been made. The publisher remains neutral with regard to jurisdictional claims in published maps and institutional affiliations. This Springer imprint is published by the registered company Springer International Publishing AG part of Springer Nature. The registered company address is: Gewerbestrasse 11, 6330 Cham, Switzerland

To Darrel, Lisa and Kaelyn (BCA) To Cori, José María and Belén (JMS)

Preface to the Second Edition

In the 31 years since the first edition was published, there has been considerable growth in the volume of research dealing with inequality and the Lorenz order. This is especially true, quite naturally in the Econometrics literature. Robin Hood retains a significant presence, and majorization still provides strong motivation for consideration of Lorenz curves in discussions of inequality. There has been significant growth in the number of summary measures of inequality that are now considered, and much more attention is now paid to discussion of flexible parame