On Measuring Intergroup Inequality

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Abstract
This article develops an alternative measure for use in comparing two income distributions. The measure builds on the argument that under certain conditions inequality and dissimilarity are not the same thing, and this difference can be used to develop a measure of “crossover.” As far as we know, no analyst has developed a statistical measure that can determine the size of crossover (overlap) between two cumulative distribution functions. The measure is then applied to racial income distribution data in the United States. The results show some of the “styles” of crossover that vary from bottom-up to top-down patterns. We argue that the overlap information generated by this measure can provide insight into who benefits by trends in intergroup convergence that is not gained when using existing intergroup inequality measures.

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