Modified Kakwani Index

assesspy.mki(assessed, sale_price)

The Modified Kakwani Index (mki) is a GINI-based measures to test for vertical equity. It first orders properties by sale price (ascending), then calculates the Gini coefficient for sale values and assessed values (while remaining ordered by sale price). The Modified Kakwani Index is the the ratio of Gini of Assessed / Gini of Sale.

For the Modified Kakwani Index:

MKI < 1 is regressive MKI = 1 is vertical equity MKI > 1 is progressive

Parameters:

• assessed (numeric) – A numeric vector of assessed values. Must be the same length as sale_price.

• sale_price (numeric) – A numeric vector of sale prices. Must be the same length as assessed.

Returns:

A numeric vector MKI of the input vectors.

Return type:

float

Example:

# Calculate MKI:
import assesspy as ap

mki(ap.ratios_sample().assessed, ap.ratios_sample().sale_price)