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The Pareto Curve and Its Utility for Open-Ended Income Distributions in Survey Research

Robert Nash Parker and Rudy Fenwick
Social Forces
Vol. 61, No. 3 (Mar., 1983), pp. 872-885
Published by: Oxford University Press
DOI: 10.2307/2578140
Stable URL: http://www.jstor.org/stable/2578140
Page Count: 14
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Abstract

Two methods for estimating the midpoint of open-ended categories in income distributions typically found in suroeys based on the Pareto Curve are investigated and compared. Results show that the choice of method and the selection of a mean or median estimator for the open-ended category midpoint have substantial effects on analyses in which income is the dependent variable. The accuracy of the two methods is evaluated in simulations using exact income data, and recommendations based on these evaluations are presented.

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