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Words: | Submitted: Mon Jun 19 2006
... weights when examining the state of inequality in a developing country. This, as we will see later limit the benefits of cross country comparisons when Gini coefficient measured in a particular space is used. If we choose Economic inequality to be more relevant then I suggest consumption is a better variable than income for measuring the Gini coefficient. However lack of data for this variable limits in-depth analysis. After analyzing the measure I come to the conclusion that the Gini index is a good measure of inequality as it satisfies properties that are of fundamental importance. Of course it is not perfect, as no other measure is, as it has few problems associated with it, which I address. Gini coefficient Gini coefficient was named after an Italian statistician and demographer Corrado Gini who pioneered studies of the measurable characteristics of populations. In this essay I will be mostly concentrating on distribution of income among ...
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