At the 5th Nordic Health Promotion Research Conference, held in Esbjerg, Denmark, in June 2006, I gave a paper titled "The Misinterpretation of Health Inequalities in Nordic Countries."
I had been wanting to give such a paper since 2001. That year, at a conference in Oslo, Norway, I learned of a perception that, despite being comparatively egalitarian societies, Norway and Sweden were home to some of Western Europe's largest socioeconomic differences in rates of disease and death. Precisely because they are societies that prize equality, the disparities caused great concern in Norway and Sweden.
This issue captured my attention at the Oslo conference because I was there to explain a pattern in statistics that can prove confusing in situations exactly like this. It's a pattern whereby reducing the overall frequency of any adverse outcome tends to increase the relative difference between the rates at which advantaged and disadvantaged groups experience that outcome.
(Simultaneously, reducing overall frequency of an outcome reduces the difference between the rates at which different groups experience the opposite outcome.)
For example, reducing overall death rates tends to increase relative differences in mortality while reducing relative differences in survival.
The pattern can be illustrated with hypothetical scores from tests on which minorities score lower than whites. Suppose that, at a particular threshold for passing a test, failure rates are 20 percent for whites and 37 percent for minorities. The minority failure rate is 1.85 times the white rate (37 ÷ 20). Meanwhile, the white pass rate is 1.27 times the minority rate (80 ÷ 63).
If the score needed to pass is lowered to a point where the white failure rate becomes 5 percent, the minority failure rate (assuming normal test-score distributions) would become about 13 percent. With these better pass rates overall, the minority failure rate would now be 2.6 times the white rate (13 ÷5), while the white pass rate would be only 1.09 times the minority rate (95 ÷ 87).
Thus, when test failure became less common, the relative difference in failure rates increased while the relative difference in pass rates decreased.