Lorenz curve and ginin coefficient Flashcards

1
Q

Lorenz curve and gini coefficient

A

-measures of income inequality

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2
Q

Lorenz curve graph

A

-y cumulative percent of income, x cumulative percent of people
-perfect equality line like supply
-closer it is the more equal

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3
Q

gini coefficeint calc and meaning

A

-a/a+b where a is difference/ total area beneath line
-0 perfect equality
-1 perfect inequality

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