Dagum's model for personal distribution of income: an application to the family incomes in Portugal

Abstract

Camilo Dagum, with the model he conceived, wanted to reach a solution grounded, simple, flexible, suitable for any kind of empirical distribution and having parameters that may be submitted to an exact economic interpretation. In the present work one describes that model, forwarding the results of its application to family incomes in Portugal in 1973-74, per rural and urban zone
of the plan-regions, according to the statistics published by the INE (National Institute of Statistics) in 1977. It is divided into three parts: «the model», «estimate of parameters» and «conclusions» (where the author makes an account of the pros and cons shown by this model.