ILO Research Department Seminar

Well-being inequality and preference heterogeneity

Presenter: Koen Decancq, University of Antwerp Chair: Matthieu Charpe DEVINVEST

Koen Decancq is an associate (research) professor at the Herman Deleeck Centre for Social Policy of the University of Antwerp. He is also an associate fellow at CORE (U.C.Louvain), a research fellow of CES (KULeuven) and ZEW (Mannheim), and a "chercheur associé" at FMSH (Paris).

The paper he will present measures the inequality of the distribution of equivalent incomes, which is a preference-sensitive multidimensional well-being measure. To quantify the contribution of preference heterogeneity to well-being inequality, the authors use a decomposition method that calculates well-being inequality in different counterfactual distributions. They focus on four sources of well-being inequality: the correlation between outcomes and preferences, the preference heterogeneity, the correlation between the outcome dimensions, and the inequality within each of the outcome dimensions. The paper finds that preference heterogeneity accounts for a considerable part of overall well-being inequality in Russia for the period of 1995 to 2005.

His research interests also include multivariate dependence and the copula, driving forces of changing income distributions, successful aging and old-age well-being comparisons and evaluation of redistributive and social policy.