In this report a simple method is described to estimate the parameters of a lognormal distribution, when the only data available is grouped data about the right tail of the distribution. After the description and the derivation of the proposed method, a series of simulation experiments is performed, that suggest the accuracy of the proposed method. There appear to be three variants of the method, that all have the same good qualities. These methods may be used to estimate the total wealth of a population of households, when there is only wealth data available of households that surpass a lowest tax border. As an example this method is applied to wealth data from the Netherlands in the year 2019.
|Publication status||Published - 17 Feb 2022|
|Series||Econometric Institute Report|