Information theory

Theil index

The Theil index is a statistic primarily used to measure economic inequality and other economic phenomena, though it has also been used to measure racial segregation. The Theil index TT is the same as redundancy in information theory which is the maximum possible entropy of the data minus the observed entropy. It is a special case of the generalized entropy index. It can be viewed as a measure of redundancy, lack of diversity, isolation, segregation, inequality, non-randomness, and compressibility. It was proposed by a Dutch econometrician Henri Theil (1924-2000) at the Erasmus University Rotterdam. Henri Theil himself said (1967): "The (Theil) index can be interpreted as the expected information content of the indirect message which transforms the population shares as prior probabilities into the income shares as posterior probabilities." Amartya Sen noted, "But the fact remains that the Theil index is an arbitrary formula, and the average of the logarithms of the reciprocals of income shares weighted by income is not a measure that is exactly overflowing with intuitive sense." (Wikipedia).

Theil index
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From playlist Medical Statistics

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From playlist Statistics (Full Length Videos)

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From playlist Molecular dynamics

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From playlist Molecular dynamics

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This #short simulation shows particles interacting with a Lennard-Jones potential coupled to a thermostat. At the beginning of the simulation, the particles are close to equilibrium in a triangular lattice. 12 seconds after the beginning of the simulation, a new particle is inserted at a r

From playlist Molecular dynamics

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From playlist Molecular dynamics

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An hourglass with Lennard-Jones particles

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From playlist Molecular dynamics

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From playlist Molecular dynamics

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From playlist Molecular dynamics

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Osmosis

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From playlist Molecular dynamics

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Step polymerization

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From playlist Molecular dynamics

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From playlist Molecular dynamics

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Related pages

Generalized entropy index | Information theory | Diversity index | Log-normal distribution | Mean log deviation | Polygamma function | Weibull distribution | Redundancy (information theory) | Natural logarithm | Dirac delta function | Claude Shannon | Gamma distribution | Lorenz curve | Pareto distribution | Chi-squared distribution | Entropy (information theory) | Econometrics | Exponential distribution