Sampling properties of Dagum model for income distribution

Abstract

In this article we firstly investigate on the sampling properties of the model proposed by Dagum and successively we use those properties to find the asymptotic sampling distribution of two measures of inequality of income. More specifically, in the first part we indicate the system of equations which will provide the maximum likelihood estimates of the parameters of the model and find the Fisher's information matrix which can be used to make general inferences on the parameters of the model. In the second part, instead, by means of the functional relations linking the measures of inequality and the parameters of the Dagum model and by using the maximum likelihood invariance property we find the asymptotic sampling distributions of the measures of inequality.