Score: 0

On the bias of the Hoover index estimator: Results for the gamma distribution

Published: January 6, 2026 | arXiv ID: 2601.03059v1

By: Roberto Vila, Helton Saulo

Potential Business Impact:

Fixes a math problem for measuring unfairness.

Business Areas:
A/B Testing Data and Analytics

The Hoover index is a widely used measure of inequality with an intuitive interpretation, yet little is known about the finite-sample properties of its empirical estimator. In this paper, we derive a simple expression for the expected value of the Hoover index estimator for general non-negative populations, based on Laplace transform techniques and exponential tilting. This unified framework applies to both continuous and discrete distributions. Explicit bias expressions are obtained for gamma population, showing that the estimator is generally biased in finite samples. Numerical and simulation results illustrate the magnitude of the bias and its dependence on the underlying distribution and sample size.

Page Count
16 pages

Category
Statistics:
Methodology