hoover: Hoover Concentration Index

In REAT: Regional Economic Analysis Toolbox

Description

Calculating the Hoover Concentration Index with respect to regional income (e.g. GDP) and population

Usage

hoover(x, ref = NULL, weighting = NULL, output = "HC", na.rm = TRUE)

Arguments

x	A numeric vector (dataset of regional income, e.g. GDP)
ref	A numeric vector containing the reference distribution for the Hoover Index, e.g. population. If reg = NULL, the reference distribution is set to 1/n
weighting	A numeric containing the weightings for the Hoover Index, e.g. population
output	Default option is the output of the Hoover Index. If output = "data", the corresponding data table is returned instead
na.rm	logical argument that indicates whether NA values should be excluded before computing results

Details

The Hoover Concentration Index (CI) measures the economic concentration of income across space by comparing the share of income (e.g. GDP - Gross Domestic Product) with the share of population. The index varies between 0 (no inequality/concentration) and 1 (complete inequality/concentration). It can be used for economic inequality and/or regional disparities (Huang/Leung 2009).

Value

A single numeric value of the Hoover Concentration Index (0 < CI < 1).

Author(s)

Thomas Wieland

References

Bahrenberg, G./Giese, E./Mevenkamp, N./Nipper, J. (2010): “Statistische Methoden in der Geographie. Band 1: Univariate und bivariate Statistik”. Stuttgart: Borntraeger.

Huang, Y./Leung, Y. (2009): “Measuring Regional Inequality: A Comparison of Coefficient of Variation and Hoover Concentration Index”. In: In: The Open Geography Journal, 2, p. 25-34.

Portnov, B.A./Felsenstein, D. (2010): “On the suitability of income inequality measures for regional analysis: Some evidence from simulation analysis and bootstrapping tests”. In: Socio-Economic Planning Sciences, 44, 4, p. 212-219.

See Also

cv, gini, herf, theil, atkinson, coulter, disp

Examples

# Regional disparities in Germany:
gdp <- c(460.69, 549.19, 124.16, 65.29, 31.59, 109.27, 263.44, 39.87, 258.53, 
645.59, 131.95, 35.03, 112.66, 56.22, 85.61, 56.81)
# GDP of german regions 2015 (in billion EUR)
pop <- pop <- c(10879618, 12843514, 3520031, 2484826, 671489, 1787408, 6176172, 
1612362, 7926599, 17865516, 4052803, 995597, 4084851, 2245470, 2858714, 2170714)
# population of german regions 2015
hoover(gdp, pop)

Example output

[1] 0.07358991

REAT documentation built on Sept. 5, 2021, 5:18 p.m.