Gini coefficient ranges from 0 (perfect equality) to 1 (maximal inequality)
Gini coefficient
Gini coefficient ranges from 0 (perfect equality) to 1 (maximal inequality)
The Gini coefficient is a statistical measure that quantifies income inequality within a population. A coefficient of 0 indicates perfect income equality, meaning everyone earns the same amount. Conversely, a coefficient of 1 signifies maximum inequality, where one person earns all the income and everyone else earns nothing.
Example
In OECD countries, the income Gini coefficient ranged between 0.24 and 0.49, with Slovakia having the lowest and Mexico the highest, indicating varying levels of income inequality across these nations.
Remember this
Understanding the Gini coefficient helps policymakers assess and address income inequality within a country.
Text adapted from Wikipedia, licensed under CC BY-SA 4.0.
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